October 2, 2025 – Hong Kong, Hong Kong
Psy makes Web 2.0 business models financially viable on Web 3.0, with applications from commerce to agentic AI.
Psy Protocol (formerly QED Protocol) today launched its public testnet, introducing a blockchain architecture designed to deliver internet-scale throughput and Bitcoin-level security.
The launch demonstrates million-TPS (transactions per second) capacity in internal benchmarks, enabled by client-side ZKPs (zero-knowledge proofs) and a horizontally-scalable state architecture.
Psy’s architecture is unique in that it achieves virtually unlimited TPS and block times that scale logarithmically with the number of users.
The protocol is backed by leading investors and partners including Blockchain Capital, Arrington Capital, UTXO, Anagram, Draper Dragon, CoinSummer, Amber Group, Paper Ventures, Protagonist, LBank Labs, Valhalla Capital, StarkWare, Edessa Capital and strategic mining groups F2Pool and ViaBTC Capital.
Aleks Larsen, general partner at Blockchain Capital, said,
“Psy’s architecture tackles the core barrier to mainstream Web 3.0 adoption by solving the scalability and security trade-offs that have held DApps (decentralized applications) back.
“For the first time, recognized high-concurrency models in the Web 2.0 ecosystem from commerce to AI can run on a fully decentralized foundation with Bitcoin-level security.”
How Psy achieves internet-scale throughput
Psy’s performance addresses one of blockchain’s most persistent limitations the inability to support the high-concurrency applications that define modern internet usage.
Fully on-chain DeFi, agentic payments and decentralized versions of platforms like Amazon, eBay or social networks have remained theoretical because existing blockchains cannot process the transaction volumes these applications demand.
Traditional blockchains face an unavoidable bottleneck every full node must validate every transaction. This design provides strong security but sharply limits throughput.
Ethereum processes roughly 60 TPS, while even high-performance PoS (proof-of-stake) networks like Solana average roughly 1,000 TPS.
Psy’s state model (PARTH) removes this bottleneck entirely.
Psy dramatically reduces the computational burden on the network by leveraging client-side compute.
Rather than requiring every node to validate each transaction, users generate ZKPs locally on their devices.
These proofs are orders of magnitude faster to verify than the underlying transactions, and the network aggregates them in parallel through recursive ZKPs, culminating in a single, succinct block proof that validates millions of transactions in seconds.
Crucially, the PARTH architecture enables block creation times that scale logarithmically with user count.
In benchmark scenarios with one million users each submitting ten transactions, Psy processed 10 million transactions in roughly 10 seconds demonstrating throughput exceeding one million TPS.
Enabling Web 3.0’s next evolution
Psy’s technology stack makes Web 3.0 business models competitive in demanding use cases such as fully onchain DeFi and agentic payments.
With faster transaction speeds, scalable architecture and built-in data privacy, the testnet demonstrates how Psy achieves scale without compromising the security and decentralization that made Bitcoin revolutionary.
This performance enables blockchain applications to compete directly with centralized platforms while giving users back data ownership and control rather than leaving it in the hands of tech monopolies.
The public testnet is live today, allowing developers and users to experience Psy’s performance firsthand. Mainnet deployment is planned for later this year.
Why Psy chooses proof-of-useful-work
Unlike most high-throughput blockchains that rely on PoS consensus, Psy builds on PoW (proof-of-work) principles the consensus mechanism introduced by Bitcoin.
PoS systems often concentrate power among validators with large token holdings, allowing them to extract value through practices like MEV.
Their security depends on the very tokens they issue, creating circular dependencies that introduce systemic risk.
Psy eliminates PoW’s traditional energy inefficiency by making mining ‘useful work’ he generation and aggregation of ZKPs that directly secure transactions.
This shifts mining from wasteful competition to collaborative value creation instead of determining the blockchain by raw hash power, Psy advances the network by maximizing the useful work miners perform for users.
Carter Feldman, founder and CEO of Psy Protocol, said,
“Web 3.0 commerce and the agentic economy never scaled because users were asked to choose between convenience and decentralization.
“Psy removes that false choice, giving developers the tools to build fast, secure and scalable platforms that feel seamless even though they run fully onchain.”
Website | X | Psychonaut incubation program
About Psy Protocol
Psy Protocol is a proof-of-useful-work smart contract platform that combines the neutrality and security of PoW with the scalability and speed promised by next-generation architectures.
By shifting transaction proving to users and aggregating ZKPs onchain, Psy delivers internet-scale throughput, low fees and open participation without sacrificing PoW’s superior security.
Psy empowers developers to build hyper-scalable Web 3.0 applications, aiming to host the next generation of the decentralized internet.
Contact
Josh Adams, Serotonin
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