Blockchains were initially employed as decentralized networks for transaction processing. However, virtual machines have facilitated the development of smart contracts on top of blockchains, turning them into fundamental components for a wide range of applications and use cases. Prime examples include the Solana Virtual Machine (SVM) and the Ethereum Virtual Machine (EVM).

The Solana Virtual Machine (SVM) is the software infrastructure that underpins the Solana blockchain, allowing it to facilitate the implementation of smart contracts and achieve higher transaction throughput. Unlike the Ethereum Virtual Machine (EVM), which operates on a sequential processing paradigm and employs Solidity, the SVM employs the Rust programming language and parallel transaction processing.

What is the Solana Virtual Machine (SVM)?

The Solana Virtual Machine (SVM) is the execution environment that processes transactions, smart contracts, and programs on the Solana network. The Solana Virtual Machine enhances the network’s scalability by processing thousands of transactions per second (TPS). The developers assert that the SVM is optimized for high-demand scenarios and is constructed using the Rust programming language to execute transactions most efficiently.

Ethereum was the first to develop a blockchain virtual machine, the EVM, which has since become the industry standard. The EVM’s architecture has inspired numerous blockchains, including BNB Smart Chain, Avalanche, and Tron, which have implemented systems compatible with or derived from the EVM.

The Solana Virtual Machine has emerged as a formidable competitor to the established EVM. The SVM functions as a virtualized processing engine responsible for deploying smart contracts, processing transactions, and fulfilling other requests from these contracts.

These transactions are state change requests, computed by the Solana VM and updated the blockchain’s overall state after each iteration. In conclusion, the execution environment of the Solana blockchain is the SVM. It provides a dynamic network for the development and operation of Web3 applications by working in conjunction with the consensus layer of the Solana blockchain.

The SVM can support various smart contract applications, like DeFi, GameFi, and other decentralized applications. Solana VM is a modular machine that is similar to EVM. It can be deployed with other components, such as a data availability or consensus layer, to construct decentralized networks with minimal or no modifications to their original form.

Source: Squads protocol

What is a Virtual Machine (VM)?

A virtual machine (VM) is a software component that executes programs, frequently referred to as a runtime environment, in the context of blockchains. It is used to implement smart contracts for a crypto network. A virtual machine can also streamline the deployment process for developers on other channels that utilize the same VM.

When a transaction is submitted, the virtual machine of the network is responsible for processing it and managing the state of the blockchain, which is the present status of the entire network, as it is affected by the execution of the transaction. The VM establishes the precise regulations for altering the network’s state.

The VM converts the smart contract code into a format that the validators’ hardware can execute during transaction processing. The Solana Virtual Machine (SVM) compiles Rust, C, and C++ into BPF bytecode, the primary language for writing smart contracts on Solana. This process enables the network nodes (validators) to execute transactions efficiently.

In the past, users have utilized virtual machines (VMs) as experimental environments wholly isolated from their primary computer operating system. Blockchain virtual machines serve as the execution layer of the network for decentralized applications, in contrast to traditional virtual machines, which are isolated sandboxes. Blockchain virtual machines (VMs) are decentralized, allowing nodes on the network to run an instance of the blockchain’s virtual machine on their device, compute state changes, and monitor state changes suggested by other validators to achieve consensus. This ensures that the records of transactions are correctly recorded on the network.

How does Solana Virtual Machine (SVM) Operate?

The blockchain’s nodes (validators) operate as distinct, autonomous instances of the Solana Virtual Machine. Each validator processes transactions in an isolated SVM local environment on their hardware. Nevertheless, the SVM must first convert the smart contract into a format that the validator’s hardware can process before a validator can execute the smart contract.

The state of the blockchain is altered when a smart contract is effectively deployed. This change must be reported to Slana’s runtime, which forwards the changes to the SVM, enabling all validator nodes to update the blockchain with the state change.

The utilization of SeaLevel Parallel Transaction Processing is a critical component of the Solana virtual machine, which provides a significant contrast to the Ethereum virtual machine. There are numerous reasons why SVM can process transactions more quickly than EVM; however, the primary factor is the disparity in the runtimes of the two blockchains. In summary, EVM can process only one contract simultaneously due to its “single-threaded” runtime. On the other hand, SVM employs a “multi-threaded” runtime that can concurrently process numerous contracts.

The working mechanisms of the SVM can be disrupted through a series of distinct processes. They include;

• Validator Node: Solana has dispersed numerous validator nodes worldwide. Each version of the SVM is independently executed, allowing for the completion of distinct duties.
• Prepared Smart Contracts: The SVM’s initial step is to translate the smart contract into a language the node can comprehend. This ensures that the smart contract is executed accurately.
• Executing Smart Contracts: The smart contract is executed once it is properly formatted. The smart contract updates specific blockchain data on the SVM version running on the particular node.
• Achieving Consensus: This revised blockchain is distributed to all other network nodes to reach a consensus.

SeaLevel Parallel Transaction Processing

SeaLevel is a critical component of the Solana VM, as it enables the virtual machine to execute transactions in tandem. The parallel transaction processing model processes transactions simultaneously by validators across the network, unlike the sequential execution model. This enables the network to attain higher throughput and improved scalability. This facilitates “horizontal” scaling within the Solana execution environment by permitting the concurrent implementation of multiple smart contracts without affecting their respective performance. Solana smart contracts facilitate this by specifying the data (state) that will be read or written during the execution.

This enables parallel execution of transactions free of conflicts and simply accessing the same information. Sealevel allows the SVM to process tens of thousands of transactions simultaneously instead of individually, as the Ethereum Virtual Machine (EVM) does.

Sealevel employs optimistic concurrency control, a method that permits the execution of transactions in parallel by presuming that the majority of them will not conflict. If a conflict is detected during execution, Sealevel sequentially retries the conflicting transactions. A rollback is implemented.

SeaLevel optimizes the execution of smart contracts by enabling the simultaneous execution of numerous transactions across various nodes in the Solana network. This is accomplished by identifying and segregating transactions that can be processed in parallel without risk of interference based on the data they access or modify to achieve this. SeaLevel intelligently sequences transactions that may conflict to guarantee accurate and orderly execution.

Benefits of SeaLevel

The primary benefit of the parallel processing approach is scalability. The Solana network can scale efficiently without the obstacles typically observed in traditional sequential processing systems used by other blockchains, such as Ethereum. SeaLevel’s capacity to handle increases in parallel increases alongside transaction volumes. This leads to reduced processing periods and faster transaction speeds, essential for applications requiring real-time performance.

Contrasts Between Parallel and Sequential Execution Models

Parallel execution is a sophisticated solution that enables the simultaneous execution and independent classification of transactions. Parallel execution, unlike the conventional Sequential Execution method, allows concurrently processing multiple transactions, enhancing the network’s scalability and performance.

The fundamental approach is the primary point of differentiation. The entire network must validate each transaction with Sequential Execution. This results in significant energy consumption and increased effort for miners or validators. In contrast, Parallel Execution enhances transaction speeds. It reduces associated costs by optimizing the network’s capabilities, all while assuring compatibility with the Ethereum Virtual Machine (EVM) environment.

Differences Between Solana Virtual Machine (SVM) and Ethereum Virtual Machine (EVM)

SVM and EVM: Client Distinction

Ethereum and Solana are distinctive blockchains in that various validator clients are used to verify transactions. If a particular client experiences difficulties, multiple validator clients can help prevent network disruptions. Execution Layer (EL) and Consensus Layer (CL) clients are the two categories of validator clients.

Execution clients are accountable for the following:

• receiving new transactions disseminated on the network
• executing them on the EVM
• maintaining the current state and database of all Ethereum data

Source: AMINA Bank

On the other hand, consensus clients implement the PoS consensus algorithm and reach consensus on the network by utilizing verified data from execution clients.

Ethereum validator nodes typically operate with both execution and consensus clients, as these two categories of clients fulfill distinct functions. Conversely, Solana integrates both capabilities into a singular client. Solana Labs was the first organization to develop the first validator client on Solana.

Source: AMINA Bank

Since that time, there have been numerous independent endeavors to create additional full or lite validator clients on the Solana network:

Jito Labs

In August 2022, Jito Labs published a second validator client on the mainnet. Jito is responsible for maintaining, modifying, and deploying this fork of Solana Labs code, which he independently develops. Nevertheless, this client has a flaw in the Solana Labs client, as it is a fork of the existing client.

Firedancer

In August 2022, Jump Crypto disclosed its intention to develop a new validator client on Solana. This validator client was created entirely in C++ and has demonstrated substantial performance enhancements. Firedancer has processed up to one million transactions per second in testing environments. In comparison, the original Solana Labs client processes closer to 55,000 transactions per second in similar testing environments.

Sig

In July 2023, Syndica disclosed the creation of Sig, a validator client for the Solana network written in the Zig programming language. The validator team at Syndica initially implemented the gossip protocol for Sig in September 2023.

TinyDancer

TinyDancer, a lite client for Solana, is currently under active development in addition to these four validator clients. TinyDancer and other light clients do not construct blocks or partake in consensus; instead, they facilitate the verification of a blockchain’s status without necessitating the operation of a full node.

SVM vs. EVM: Number of Nodes

Blockchains that have a greater number of validators are generally more resilient. A user must have the assurance that their transmission will be recorded when they execute a contract on a blockchain. Ideally, each addition to a blockchain is recorded on every validator on that chain, which is why a more significant number of validators is crucial. A diverse array of validators safeguards against catastrophic events such as a data center outage.

EVM Node Numbers

Ethereum categorizes nodes into three categories based on their participation in consensus and the extent of their data storage:

Full Node: Full nodes acquire and verify the data for each block in the blockchain, validating it block by block. There are a variety of full nodes, some of which begin at the genesis block and validate all entries in the entire blockchain history. Others initiate validation from the most recent trusted blocks, typically maintaining a local copy of the most recent 128 blocks and periodically deleting older data to conserve disk space. Older data can be regenerated as required.

Archive Node: Archive nodes verify and maintain all blocks from the Genesis block forward, ensuring no data is deleted. They are indispensable to query test sets without needing reliable mining and services like block explorers, wallet providers, and chain analysis.

Light Node: Unlike the complete blockchain, light nodes only retrieve block headers. The full nodes are requested to provide additional information on the light nodes’ needs. When data is received, light nodes can independently verify it against the state root of block headers. They do not necessitate high bandwidth or sophisticated hardware, which enables participation in the Ethereum network from mobile phones or embedded devices. Light nodes cannot become miners or validators, as they do not partake in consensus. However, they can access the Ethereum blockchain and provide the same security and functionality as full nodes.

SVM Node Numbers

Nodes in Solana are classified into two categories according to their involvement in consensus:

• Consensus Nodes: Consensus nodes are essential to the network, as they generate and suggest new blocks and vote on the validity of new blocks proposed by other nodes. They are indispensable to the network’s operation.

• RPC Nodes (Remote Procedure Call Nodes): RCP Nodes are indispensable for dApps constructed on the Solana blockchain, as they function as gateways for blockchain data. They independently verify all new blocks and network modifications, similar to consensus nodes, but they do not engage in voting.

From the outset, Solana differentiates between RPC nodes and consensus nodes. However, RPC nodes do not carry out polling. Ethereum’s RPC nodes are typically constructed from complete nodes or archive nodes. Solana’s absolute number of nodes is relatively high compared to other proof-of-stake blockchains. The Foundation intends to modify its programs shortly to promote the quality of nodes rather than merely the quantity of nodes.

The total number of consensus nodes decreased from approximately 2200 to 1700 in March 2023. This decrease resulted from a significant quantity of stake being redistributed from nodes charging a 100% commission. The stakeholder acknowledged the problem and reassigned their delegation to more active validators. In the aftermath of this decline, consensus nodes have gradually and consistently increased, totaling 1,961 consensus nodes and 2,874 validator nodes as of September 13.

Summary of Difference Between SVM and EVM

In conclusion, the following is a comparison between SVM Nodes and EVM nodes:

Model for Transaction Management: The SVM utilizes a parallel processing model, which enables the execution of multiple transactions simultaneously, thereby improving throughput and reducing latency. In contrast, the EVM processes transactions sequentially, which may result in network congestion during periods of high usage.

Programming Language: The SVM supports Rust, a language renowned for its efficiency. This language is particularly well-suited for applications that necessitate high performance and security. In contrast, the EVM employs Solidity, a programming language designed to develop smart contracts.

Implementation of Smart Contracts: Each validator executes smart contracts on the SVM independently, facilitating more efficient network operations. Conversely, the EVM necessitates that all nodes reach a consensus regarding the results of smart contract executions, which may delay processing times.

Conclusion

The SVM is an execution environment on the Solana blockchain that prioritizes the efficient implementation of smart contracts and transaction processing. It enhances scalability and transaction throughput using the Rust programming language and parallel transaction processing. The SVM faces obstacles, including the parallel execution model’s inherent drawbacks and the Rust language’s precipitous learning curve. Nevertheless, the SVM’s future utilization and adoption are expected to increase due to its integration with emerging AI technologies.