Deep Dive
1. Resharding V3 & Shard Layouts (March 2025)
Overview: This update fundamentally restructured the network by increasing the number of shards from 6 to 8. For users, this means the blockchain can handle more activity simultaneously without becoming slow or expensive.
The upgrade implemented a new resharding system and introduced two new shard layouts (enabled in protocol versions 75 and 76). Resharding is how NEAR dynamically splits its database to scale. Increasing shards spreads the computational load, allowing the network to process more transactions per second. Node operators needed at least 64GB of RAM during the transition, but requirements normalized afterward.
What this means: This is bullish for NEAR because it directly tackles blockchain scalability—a major hurdle for mass adoption. A more capable network can support more users and complex applications without congestion, making the entire ecosystem more robust and attractive to developers.
(Release 2.5.0 · near/nearcore)
2. Cross-Shard Bandwidth Scheduler (March 2025)
Overview: This feature optimizes how data moves between different shards, which is crucial for apps that operate across the entire network. Users will experience faster and more reliable transactions when interacting with decentralized finance (DeFi) protocols or other multi-shard applications.
Technically, it manages the transfer of "receipts" (promises of execution) between shards. Before this scheduler, cross-shard communication could be a bottleneck. By intelligently scheduling this traffic, the network achieves better horizontal scalability.
What this means: This is bullish for NEAR because it removes friction for developers building sophisticated, interconnected apps. Smoother cross-shard operations lead to a better user experience, encouraging more innovative projects to build on NEAR.
(Release 2.5.0 · near/nearcore)
3. Parallel Transaction Validation (March 2025)
Overview: This change allows nodes to validate multiple transactions at the same time, rather than one after another. The result is faster processing times and increased throughput for everyone using the network.
The update parallelizes validation steps (including signature checks) before the final transaction verification and fee charging. This optimization means nodes can handle a higher volume of transactions more efficiently, reducing potential delays.
What this means: This is bullish for NEAR because it makes the network faster and more responsive. Improved node performance is a key infrastructure upgrade that supports higher levels of adoption and more demanding applications.
(Release 2.5.0 · near/nearcore)
Conclusion
The March 2025 nearcore release focused on foundational scalability through resharding, optimized data flow, and parallel processing—core upgrades that strengthen NEAR's position as a high-performance layer-1. With the network's technical base advancing in tandem with ecosystem growth like NEAR Intents, how will these lower-level improvements translate into tangible user growth in the coming months?