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Solana transactions just got more than 3 times bigger, giving an edge over Ethereum

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Solana has more than tripled the amount of data that can fit inside a transaction, giving developers room for more complex trades, company-wallet approvals and privacy applications.

The network's new Transaction V1 format went live Tuesday at approximately 01:00 UTC, according to the Solana Foundation. It raises the maximum amount of data a single transaction can carry to 4,096 bytes from 1,232 bytes.

It could help Solana sharpen its edge over rival networks such as Ethereum. While Solana has always been faster and cheaper, it previously fell behind in one key area: its transactions were strictly hard-capped at 1,232 bytes.

Ethereum, by contrast, has no rigid protocol size limit, allowing developers to execute massive,>

That became restrictive for company wallets where several people may need to approve a payment, as well as for zero-knowledge proofs, which let applications verify information without revealing the underlying data. Both are among the use cases identified in the upgrade's design proposal.

Read More: Solana to triple transaction size as apps get room for more complex trades

Why larger transactions help

Larger transactions also let developers put more steps into a single all-or-nothing operation. If one step fails, the entire transaction can be rolled back. Developers previously worked around the size limit by bundling several transactions together, but the proposal says those bundles do not carry the same network-level guarantee that every step succeeds or fails together.

Apps and services that read Solana data now need to support the new format.

Services that feed blockchain data to wallets, trading apps and analytics platforms must be able to recognize V1 transactions. Otherwise, a request for an individual transaction can fail.

A request for an entire block can also fail if that block contains even one V1 transaction, the Foundation warns.

As such, those are compatibility warnings, rather than evidence that a widespread outage has occurred.

Older transaction formats remain supported. An app can keep sending transactions in the old formats, but it still needs updating to read the new ones.