With dynamic gas, complete fee burns, NFT staking, and multi-stage roadmap clarity, VeChain is building a friendly ecosystem for real-world impact.
Alexander, a researcher at Messari Beundry, recently published a detailed report titled “Understanding VeChain: A Comprehensive Overview,” offering a closer look at the network’s evolution. One of the standout insights focused on the protocol upgrades rolled out on July 1, including NFT-based staking, enhanced Ethereum Virtual Machine (EVM) compatibility, and revamped fee structures, all aimed at modernizing the network and strengthening decentralized governance.
In a post on X, Alexander broke it down simply: “Galactica = gas overhaul. VeChain now burns 100% of base fees and uses a dynamic model like Ethereum. Fees stay low, predictable, and deflationary.” According to him, the era of legacy node programs is over.
Now, users can participate through delegator staking using NFT receipts, enjoy new reward tiers, and earn yields of up to 9% or more. VeChain’s architecture still includes two important node types, Economic Nodes, which incentivize long-term VET holding and contribute to governance, and X-Nodes, a legacy tier for early supporters that still offers special access across the ecosystem. And on July 1, both node types officially transitioned to the new validator/delegator model under StarGate, VeChain’s ambitious new staking platform.
“Next up: a shift to Proof-of-Authority to Weighted Delegated PoS, new tokenomics, and JSON-RPC support,” Alexander added, hinting that the next phase in VeChain’s growth is the network’s move toward a Weighted Delegated Proof of Stake (WDPoS) consensus model.
The VeChainThor network uses the Proof-of-Authority (PoA) system, where 101 KYC-verified validators, called Authority Masternodes, are responsible for producing blocks and keeping the network secure. To qualify, each validator must also stake 25 million VET as collateral.
This upgrade removes the previous KYC requirements for participation, making the network more open and decentralized. Under the new system, any VET holder can stake their tokens and receive a Delegator NFT in return, giving more users a say in securing the blockchain.
As reported by CNF, validators will still need to hold a minimum of 25 million VET as collateral, but now the total size of a staking pool, including both validator and delegator stakes, can go up to 600 million VET. This change allows participation while maintaining network stability and governance control.
In the Interstellar phase, the final stage of VeChain’s Renaissance roadmap, the network is set to make a leap forward in accessibility and interoperability. One of the upgrades will be the integration of JSON-RPC, a widely adopted standard that will make it far easier for developers to plug into VeChain using familiar tools and platforms, like Metamask, Hardhat, and others.
This is expected to simplify porting and integration, opening the door to fresh growth opportunities. On top of that, VeChain will achieve full compatibility with Ethereum’s Cancun upgrade, removing long-standing friction and making cross-chain development more seamless. Interstellar will cement a balanced, deflationary token model while promoting active participation and long-term engagement within the network.
According to a recent report, the VeChain Foundation has also taken key steps toward regulatory readiness, including achieving MiCAR compliance in early 2025. This allows VeChain-based tokens to be used legally across the European Union, further cementing its role in practical, compliant, and enterprise-ready blockchain development.
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