The Avalanche Foundation has launched its most significant network upgrade to date, Avalanche9000, introducing the Etna upgrade to its mainnet. It marks a fundamental shift in the Avalanche ecosystem by simplifying the process of launching Layer 1 blockchains, removing the complexities of the previous Subnet model.
AVAX’s price remained largely unfazed despite the major overhaul.
Avalanche9000: The Network Overhaul
According to the official website, Etna replaces the existing Subnet model, which had been criticized for its high staking thresholds and operational costs for validators. With Avalanche9000, developers can now spin up Layer 1 blockchains more quickly and independently, benefiting from drastically reduced costs – 99.9% lower L1 deployment expenses and a 96% drop in C-Chain fees.
The upgrade also introduces more flexibility, offering customizable staking mechanisms, gas fees, tokens, and compliance options, including geo-restrictions. These improvements remove significant economic and technical barriers and instead empower developers to tailor their networks to specific use cases.
Additionally, Avalanche9000 integrates Interchain Messaging (ICM) and improves interoperability between chains, thereby fostering smoother communication across the ecosystem. By simplifying blockchain creation and governance, Avalanche said that the end goal is to attract more projects to its platform.
Avalanche9000 was launched on the Avalanche “Fuji” testnet on November 25. Just days before the mainnet rollout, Avalanche announced a $250 million locked-token sale, which was led by prominent investors, including Galaxy Digital, Dragonfly, and ParaFi Capital, with over 40 companies participating.
Notable participants in the token sale included SCB Limited, Republic Capital, Lvna Capital, Hivemind, Big Brain Holdings, Morgan Creek Digital, Hypersphere, FinTech Collective, SkyBridge, and others.
AVAX’s Underwhelming Performance
AVAX kicked off 2024 with a strong start, subsequently hitting a yearly high of $65.39. However, the price quickly dropped and has struggled to regain those levels. Despite an attempt at recovery in November, AVAX has yet to reach its previous highs.
In December, while other altcoins saw significant rallies, AVAX’s performance remained lackluster. As of the latest data, the token has posted a weekly increase of 9.28%, with its current price standing at $50.18.
