Sei Proposes V2 Upgrade with EVM Integration, SEI Price Surges

Sei Foundation has proposed a governance initiative to implement the V2 upgrade on its Layer-1 blockchain, Sei Network, prompting a positive response in SEI prices.

Sei Proposes V2 Upgrade with EVM Integration, SEI Price Surges. Image: Sei

Sei Labs has initiated a governance proposal to execute the V2 upgrade on its Sei Network blockchain.

Since late last year, Sei Labs has been teasing the V2 release. This upgrade, spearheaded by Sei Labs, will introduce an EVM-compatible layer alongside a sub-one-second Finality mechanism inherent to the network. If approved, the upgrade is set to roll out one week later on May 27.

Additionally, Sei V2 introduces SeiDB, a data structure aimed at enhancing the network's storage layer. According to the team, SeiDB addresses data overload by simplifying the state synchronization process for new nodes joining the network. The deployment of Sei V2 will compete with other EVMs in the segment such as Monad and Neon.

Sei Labs has hinted at post-upgrade prospects, indicating prominent Ethereum dApps like Uniswap, Frax, X2Y2, Bancor, Balancer, Rarible, Layer Zero, Nansen, and The Graph will soon make their way to Sei V2.

Since its beta mainnet launch in August 2023, Sei has only supported Cosmos-based dApps written in Rust. With the V2 release, the project aims to attract more developers through expansion strategies and increased network compatibility.

In April 2023, Sei Labs successfully raised $30 million through strategic funding rounds from major institutional funds like Jump and Multicoin Capital. This funding injection further solidifies Sei Labs' financial and technological commitment to advancing its blockchain ecosystem.

News of the V2 deployment has had a positive impact on SEI prices over the past few hours. SEI surged over 10% following this announcement. Concurrently, SEI's market capitalization and 24-hour trading volume have both soared, up by 8.84% and 122%, reaching $1.69 billion and $167 million, respectively.

At the time of writing, SEI is trading at $0.59 per token, marking an 11% increase from its daily low.

1-hour chart of SEI/USDT pair on Binance at 09:30 AM on May 21, 2024