Sei Network: High-Performance Blockchain and Dual Upgrade of Parallel EVM

The Sei Network has begun to show strong momentum after a few months of silence, with its token price continuously rising and reaching an all-time high. Currently, Sei's liquid staking has surpassed $3.5 million, and the total locked value of the network has exceeded $11 million. Previously, Sei held a highly anticipated hackathon competition that attracted numerous developers to participate.

This year, Sei is set to undergo an important V2 upgrade, focusing primarily on enhancing parallel processing capabilities and introducing EVM compatibility. This article will delve into the technical features and ecosystem projects of Sei Network, exploring its future development potential.

Sei Design Features

Sei, as a Layer 1 blockchain focused on trading, has built-in central limit order book module (CLOB). Developers can use this module to quickly build various trading applications, such as spot, derivatives, and options. Sei's parallel design provides a fast and high-throughput network environment for its ecosystem applications.

Sei mainly improves network processing speed through the following two methods:

1. Local Build Hash

Sei allows validators to send blocks to the network that only contain transaction hashes. Other validators, upon receiving them, will first construct blocks based on the records in their local memory pool. If the memory pool lacks the corresponding transaction information, validators will wait for subsequent blocks that contain detailed transaction contents to arrive for verification.

2. Parallel Transaction Processing

Sei Network implements parallel processing of validators for the pre-vote and pre-commit phases of blocks. This parallel processing mechanism significantly reduces latency and improves network throughput.

In the code implementation, Sei classifies transactions: sequential processing for related multiple transactions, while parallel processing is used for non-related transactions. However, the current design may face consistency challenges when handling a large number of concurrent transactions, which is also an area for further optimization in the Sei V2 version.

Parallel EVM

Parallel EVM Concept

Traditional EVM ensures network security by executing transactions sequentially, which limits network performance. The design of parallel EVM aims to allow different transactions to be processed simultaneously, significantly improving processing speed and network throughput. The current solutions in the market mainly utilize high-performance new public chains such as Solana, Aptos, Sei, etc., to be compatible with EVM.

Sei V2 Upgrade

The upcoming V2 version of Sei will implement parallel EVM, supporting the operation and interaction of Cosmwasm and EVM smart contracts. The main upgrade points include:

1. Optimistic Parallelization: Allows concurrent transaction processing, improving throughput and efficiency.
2. EVM Compatible: Supports direct deployment of existing EVM smart contracts.
3. Geth Compatibility: Integration of Geth to handle EVM smart contract transactions.
4. SeiDB: Improved storage layer, enhancing read and write performance and scalability.
5. Performance Improvement: Block time reduced to 390 milliseconds, capable of processing 28,300 batch transactions per second.

These upgrades will make Sei a highly optimized execution layer while maintaining full compatibility with the existing EVM ecosystem.

Sei Contract Security Recommendations

For developers planning to develop applications in the Sei ecosystem, it is recommended to follow the security practices below:

1. Build upgradable smart contracts and develop risk mitigation plans.
2. Pay attention to the special nature of addr type deserialization and perform additional validation.
3. Prevent risks of integer overflow and division by zero.
4. Avoid triggering infinite loops in the ACK handler.

Sei Ecosystem Overview

1. Wallet

Currently, the wallets that support the Sei network include dedicated wallets such as Compass Wallet and Fin Wallet, as well as multi-chain wallets like OKX Wallet, Keplr, and Leap Wallet.

Safety Advice:

• Choose audited and long-running wallet projects
• Properly secure your mnemonic phrase and private key
• Carefully check the transaction information before signing the transaction.

2. Kryptonite

Kryptonite is the largest liquid staking protocol in the Sei ecosystem, where users can stake Sei tokens to receive stSei, with an annualized yield of about 5.54%. The project has undergone a security audit to enhance the safety of the staking operations.

3. YakaFinance

YakaFinance is committed to becoming a multifunctional DEX and liquidity center in the Sei ecosystem. Currently in the testnet phase, it has attracted over 15,000 users to participate in testing.

4. PalletExchange

PalletExchange is the NFT trading platform of the Sei ecosystem, with a daily trading volume reaching up to approximately $1 million. The platform charges a 2% transaction fee.

Summary

Sei, as a high-performance Layer 1 focused on trading, enhances performance by optimizing the block generation and processing process. With the rapid development of the ecosystem, various decentralized applications will further amplify Sei's high-performance advantages. The upcoming V2 upgrade will address current bottlenecks and is expected to attract more developers and users into the Sei ecosystem.