Introducing Custom Mempool Upgrade on Band Oracle v3 Testnet Phase 2.1

We’re excited to roll out Band Oracle v3 Testnet Phase 2.1, a targeted upgrade that enhances how transactions are handled on BandChain. This iteration builds directly on the groundwork in Phase 2, focusing on optimizing the mempool — the core component responsible for queuing transactions before they’re confirmed on-chain.

Why does this matter? In an oracle-specific blockchain like Band Protocol, ensuring that different types of data are prioritized appropriately is essential for maintaining accuracy and reliability under load. With this upgrade, Band Oracle v3 now features a custom mempool lane system, designed to streamline and secure transaction throughput tailored for oracle-specific activity.

Recap of Band Protocol Testnet Phase 2

Testnet Phase 2 marked a major evolution in the Band Oracle v3 architecture, introducing powerful new components designed to improve visibility, control, and resilience for all network participants.

Key Highlights:

• Telemetry-Driven Transparency
  With the introduction of telemetry in Grogu and Cylinder, Band v3 now supports proactive monitoring and performance optimization. These tools provide real-time insights into oracle health, validator behavior, and system throughput.
• Expanded Data Tunnel Routes
  In collaboration with Router and Axelar, we’ve added three new Data Tunnel routes for testing. This broadens cross-chain connectivity, laying the groundwork for a truly interoperable oracle layer.
• Other Core Enhancements
  These enhancements contribute to a smoother dev experience and greater system modularity.
  • Upgrades to Cylinder
  • Improvements to signal submission workflows
  • More seamless TSS group activation
  • Continued development of Yoda

Together, these advancements solidify Band’s vision of building an open data oracle for everyone — and bring us significantly closer to a production-ready mainnet launch.

A Smarter, More Secure Mempool Design

The rise of high-frequency oracle transactions requires smarter transaction management. That’s why Band Oracle v3 now features a customized mempool, with dedicated lanes for different transaction types — prioritized to safeguard critical oracle operations.

Mempool Lane Structure Breakdown:

• Priority Lanes for Validators:
  • Submit Price Transactions (50% of each block): Reserved for signal submissions, where these transactions power the Band Price Feed.
  • TSS Messages (20% of each block): Transactions requiring validator signature aggregation.
  • Oracle Report Transactions (20% of each block): Internal reporting data to BandChain.
• General Lane (10% each block):
  • Includes all other transaction types such as token transfers, governance actions, and delegations.

This structure ensures that mission-critical data, such as price feeds, signature aggregation, and validator reporting, are never blocked or delayed by non-essential traffic activity. It also discourages network spamming, contributing to overall improved security and efficiency.

What’s Next?

While Phase 2.1 is a relatively focused upgrade, it represents a crucial step forward in developing our oracle infrastructure. Here's what you can expect next:

• Ongoing optimizations: Minor upgrades and stability improvements will continue as we receive feedback from our validators and developers.
• Mainnet Launch: We’re targeting Q3 2025 for the production-grade deployment of Band Oracle v3- delivering an open, modular oracle solution to the broader ecosystem.

Band Oracle v3 Testnet Phase 2.1 move us closer to a more secure, efficient, and customizable oracle layer— purpose-built for the next generation of DeFi, gaming, and real-world applications.

We're grateful to our community and validators for their continued support.

Stay tuned for more updates, dev toolkits, and mainnet launch details in the coming weeks.

Follow us on Twitter, join our Discord, or check out the Band Protocol Website to get involved.

Let’s build the future of open data oracle together.

About Band

An open data oracle for everyone - Band delivers free information flow and connects the real world to Web 3, serving as the backbone of DeFi, prediction markets, and games for global blockchain users and institutions with zero counterparty risk.

Through an incentivized tokenomic design and robust governance, Band helps secure billions of dollars in value on-chain.

Learn more about Band: Linktree