Solana News Today: Solana boosts block size 20% to enhance scalability

Solana (SOL) has activated a 20% increase in block size through the SIMD-0256 upgrade, raising its block limit from 50 million to 60 million Compute Units (CUs). The change, effective July 24, aims to enhance the network’s transaction throughput and scalability, aligning with Solana’s roadmap to compete with Ethereum and other smart contract platforms. The upgrade, driven by the Solana Validator Community under Andrew Fitzgerald’s leadership, expands computational capacity per block, enabling higher-volume decentralized applications (dApps) and decentralized finance (DeFi) protocols. Notably, the adjustment was implemented without formal announcements from Solana Labs or the Solana Foundation, underscoring the community’s decentralized governance role [1].

The technical upgrade leverages Solana’s hybrid proof-of-history (PoH) and proof-of-stake (PoS) architecture, allowing more transactions per second while maintaining low latency. Developers and validators have praised the move, citing reduced congestion and lower fees during peak usage. The change is projected to support up to 50,000 transactions per second (TPS), though actual performance depends on validator adoption and network load [1]. Community forums highlight optimism about improved scalability, though Solana’s leadership has not issued detailed post-upgrade commentary [2].

Market metrics reflect mixed short-term dynamics: at $190.85, SOL’s price has declined 5.27% in the past 24 hours, with trading volume dropping 12.80% to $10 billion. Over 90 days, however, the token has gained 25.74%, maintaining a $102 billion market cap and 2.64% dominance [1]. Analysts note that while increased block size correlates with higher throughput, long-term success hinges on validator hardware capabilities and further software optimizations. Some experts predict complementary upgrades, such as enhanced PoH mechanisms or off-chain solutions, may be necessary to sustain growth [1].

The upgrade preserves Solana’s energy efficiency by avoiding hardware strain, a critical differentiator in the energy-conscious blockchain space. It also reflects the network’s iterative improvement strategy, with 2024 updates focusing on smart contract execution and validator rewards. The block size adjustment marks the first step toward addressing scalability without compromising decentralization [2].

Solana’s strategic focus on high-performance infrastructure positions it as a key player in sectors requiring real-time processing, such as DeFi and NFTs. A fintech report from July 2025 emphasized the importance of transaction speed and cost efficiency for blockchain adoption, aligning with Solana’s sub-second finality and low-cost model [3]. While the upgrade is a technical milestone, its broader impact will depend on ecosystem adoption and complementary innovations.

Sources:

[1] [Solana Network Activates 20% Block Size Upgrade] https://www.ainvest.com/news/solana-news-today-solana-network-activates-20-block-size-upgrade-enhance-scalability-transaction-throughput-2507/

[2] [Solana Increases Block Size by 20%] https://coincu.com/news/solana-block-size-increase/

[3] [Key Blockchain Questions for Ecommerce Developers] https://moldstud.com/articles/p-top-10-blockchain-questions-every-ecommerce-developer-should-know