The Tezos blockchain platform has activated its milestone 20th protocol upgrade, named Tallinn.

Tallinn, the 20th Tezos protocol upgrade is live.

⚡ 6s blocks → lower latency, 12s L1 finality
🛡️ Once ≥50% tz4: all bakers attest every block → stronger security, more predictable rewards
🗂️ Address Indexing Registry → up to 100x gains in storage efficiency pic.twitter.com/EDAbpD6mbh

— Tezos (@tezos) January 24, 2026

The upgrade was developed by specialists from Nomadic Labs, Trilitech, and Functori.

Key changes to the network include:

  • Reduction of block time from eight to six seconds;
  • Confirmation of each block by all validators (bakers);
  • Address Indexing Registry.

The decrease in block time allows for Level 1 finality in just 12 seconds. Developers noted that this solution maintains a low entry threshold for network validation in terms of hardware requirements.

The option for all bakers to validate blocks, rather than just a portion, is based on the BLS signature scheme used in tz4 addresses. Consequently, this change will take effect once 50% of validators transition to the new format.

The Address Indexing Registry can reduce storage requirements for enterprise applications in the Michelson execution environment by up to 100 times. This is achieved by eliminating redundant address information from smart contracts. The team noted that widespread adoption of this feature will enhance the network's potential throughput.

Native token XTZ prices did not react to the latest Tezos upgrade. Amid overall market volatility, the asset is trading at around ~$0.58 with a market cap of approximately $615 million. This price is nearly 94% lower than its all-time high of $9.12 reached in October 2021.

Source: CoinGecko.

According to DeFiLlama, the total value locked in the protocol is $35.2 million. The figure is dominated by the synthetic asset platform Youves ($26.7 million) and the decentralized exchange Sirius ($5.9 million). An additional ~$1.3 million is attributed to the stablecoin Kolibri, which is issued against debt positions in XTZ.

Recall that in March 2025, Tezos co-founder Arthur Breitman identified the lack of "fundamentality" as a key risk for cryptocurrencies.