Solana welcomes its largest trading upgrade in years, with token issuance reaching a daily high

Solana's main network activates Transaction V1, increasing the transaction limit fourfold.

On September 9, Solana launched Transaction V1 (transaction version 1) on the main network, increasing the maximum transaction volume supported by the network by approximately four times. At the same time, a supporting reform also launched a plan to reduce token account rental fees, which will be gradually implemented in five phases.

This week, the number of new tokens issued by Solana exceeded 263,000 in a single day, setting a record high. This data reflects the core direction of Solana's current engineering priorities: to support high-frequency, multi-account, high-concurrent activities by reducing base layer costs and expanding capacity.

Detailed explanation of Transaction V1 upgrade

Solana completed the most important transaction format change in recent years this week, officially activating what developers call Transaction V1 on September 9. Based on proposal SIMD-0296 formally specified in Solana's Public Improvement Documentation Library, this upgrade increases the maximum network transaction volume from 1,232 bytes to 4,096 bytes, more than tripling the previous limit.

In practice, a larger transaction envelope allows a single transaction to carry more instructions, account references, and signature data simultaneously. This is important for applications that previously had to split complex operations into multiple transactions due to old caps.

This change is a destructive update at the underlying format level. This means wallets, indexers and other software that parses raw Solana transactions must be updated accordingly to properly handle the new format, rather than automatically benefiting from increased space alone. This is why this deployment was planned and announced in advance, aiming to give infrastructure providers sufficient time to update their resolution logic and avoid discovering compatibility issues afterwards.

Token account rent reduction plans are advancing simultaneously

Parallel to Transaction V1 is another change regarding how the network charges rent for token accounts, which is specified as SIMD-0437 in the improvement document library. The plan launches a five-phase reduction plan with the goal of reducing rental costs by 90% after all phases are completed.

On Solana,"rent" refers to the minimum balance that an account needs to hold in order to remain active on the chain. A token account is an account that stores a user's specific token balance and is one of the largest number of account types on the network. Significantly reduce the maintenance costs of each account and significantly reduce the basic cost of holding multiple different tokens in multiple wallets. On a network where a single active user or protocol can generate thousands of token accounts, the cumulative effect of this cost is rapid.

Record token issuance reflects the current situation of the network ecosystem.

The upgrade timing coincides with another record set by Solana: During this week, Solana's number of new token issuance in a single day exceeded 263,000, setting the highest single-day number in the history of the network.

This volume reflects that Solana's current large amount of activity is conducted through permission-free token creation tools that allow anyone to deploy new tokens at extremely low friction costs. In the past year, such activity has become one of the largest sources of single on-chain transaction volume on the Internet, independent of traditional transaction volume or DeFi activity.

Future Outlook

These two main threads point to the same potential story, which is where Solana's current project focus is: providing cheaper and more spacious space for the base layer to cope with the high-frequency, high-account-count activities that-massive token creation-are setting new transaction volume records on the Internet.

The major change in Solana's next major plan is a consensus upgrade called Alpenglow, expected to be launched in October. The upgrade is expected to change the way the network finalizes blocks more fundamentally than any update this week. For now, Transaction V1 and rent cuts are more immediate, on-line changes that are shaping what developers can build without touching the limitations of the web's previous structure.