THORChain is about to release its biggest update ever. This integration will make Bitcoin deposits easier and is expected to increase the value of its native crypto asset RUNE. Along those lines, developers have even suggested reducing the number of required confirmations for Bitcoin deposits from three to two. This one move would result in 33% faster processing times! This update is designed to address these concerns and improve user experience and capital efficiency on the THORChain decentralized exchange (DEX). The proposal has received a huge wave of support from validators across the THORChain network.

Streamlining Bitcoin Deposits

As it stands, Bitcoin deposits on THORChain require three confirmations, which takes around half an hour to settle. THORChain developers are lobbying to have this reduced to two confirmations. This amendment would reduce that waiting period to approximately 20 minutes. THORChain’s own technical analysis confirmed that in practice, the risk of a blockchain reorganization is still astronomically low, even with the new 1 confirmation threshold. Initially, THORChain DEX will use a two-confirmation model. This change will better position it to compete with leading centralized exchanges such as Binance and Coinbase, offering their users a more competitive and efficient trading experience.

THORChain’s governance mechanism, known as Mimir, is designed to quickly reverse transactions in the event of a reorg. This is an important governance mechanism that intends to safeguard the equitable, inclusive, and decentralized nature of the network. Sixty-one validators support the proposed amendment. They claim it will improve customer experiences and allow them to raise rates. This 10-minute reduction in deposit time will go a long way towards improving capital efficiency for users of the THORChain DEX.

Validator Support and Governance

The proposal needs 74 votes to pass, out of a possible 110 validators. For future votes, the strong initial support indicates a high probability of approval. THORChain developers have run tests and shared data before reinforcing the decision to lower confirmations, instilling further confidence with validators.

RUNE's Potential Boost

THORChain’s token, RUNE, skyrocketed almost 60% in value from November through December. That rally came to a stop in mid-December. After hitting an all-time high in January 2025, RUNEUSDT experienced a major crash, going under the $1 mark in early February. As a result, the upcoming update could successfully save RUNE’s market performance. To draw in more users, THORChain is increasing the efficiency of Bitcoin deposits. An influx of users would increase trading volume, benefitting the demand and value of RUNE. Some transportation analysts consider the update a game-changer. This could help RUNE become one of the best performing cryptocurrencies by 2025.