VeChain Completes Hayabusa Transition to DPoS Model with Enhanced Tokenomics

Source: CryptoNewsNet Original Title: VeChain Completes Hayabusa Transition as VeChainThor Produces First DPoS Block Original Link:

Overview

VeChain has recently completed the “Hayabusa” upgrade on its mainnet, marking one of the largest technical changes in the blockchain’s seven-year history. The network has officially transitioned from its traditional Proof-of-Authority model to a fully-fledged public Delegated-Proof-of-Stake model, which increases validator participation among the general public and enhances economic incentives for community actors.

Validators produced the first DPoS block minutes after its activation, marking the official end of the permissioned PoA era. The CEO of VeChain confirmed the milestone moments after activation.

Consensus Shift Transforms Validator Participation

Under Hayabusa, all the VeThor (VTHO) gas token rewards now go only to stakers. The change eliminates the passive VTHO generation exchanged and not staked by wallets built up historically. As a result, the update increases APY for users who actively support the network while reducing the dynamics of circulating supply.

The network claims that the new model makes VeChain’s reward system more efficient than comparable systems. VeChain validators can stake up to 600 million VET, resulting in proportionately higher reward weightings and increased flexibility of participation. Meanwhile, the network’s shift to open validation is consistent with its long-term roadmap of decentralization.

Moreover, the upgrade introduces priority tip mechanics and a similar burn-based gas design comparable to other major blockchain protocols, which enables 100% burning of the base fees. The model creates more predictability for developers while creating a more deflationary token environment.

Technical Roadmap Drives The Wider Renaissance

The Hayabusa activation is the second phase of VeChain’s multi-stage “Renaissance” program. The roadmap covers EVM upgrades, new developer tooling, governance enhancements, and a modernized gas market geared towards enterprise and consumer applications.

The project focused on regulatory alignment during the process. VeChain asserted that the technical changes have been reported to and reviewed by relevant regulatory authorities. The company considers compliance as one of the critical prerequisites to scaling digital-asset infrastructure within regulated markets, particularly those with increased transparency and consumer protection. Hayabusa is also the eighth hard fork of the network, continuing a tradition of continuous uptime that began with the blockchain’s launch in 2017.

VeChain Partnerships Expand Utility and Adoption

VeChain is pairing its technological transformation with new ecosystem development. The network declared a partnership with Rekord, an EU-oriented creator of Digital Product Passports, aimed at sustainability, supply-chain tracking, and regulatory requirements.

Beyond the use cases for industry, consumer use cases for VeChain are also in development. The network also has a consumer-facing presence through fitness and wellness applications that reward users for physical activity, designed by industry partners. These collaborations bring recognition to the ecosystem and demonstrate real-world utility applications.