Conflux Surges 50% on 3.0 Upgrade Announcement, But Long-Term Questions Linger

The Conflux Tree‑Graph public chain officially announced its 3.0 upgrade at the Conflux Technology & Ecosystem Development Conference held in Shanghai from July 18 to 20. The upgrade will launch in August and includes a new storage architecture, optimized execution modules, and native AI agent support, boosting transaction throughput to 15,000 TPS.

The Tree‑Graph consensus-based platform — developed by a team of Tsinghua University researchers — has processed over 170 million transactions and reached more than 25 million users across 40+ countries. The 3.0 upgrade is designed to support cross-chain interoperability and enable real-world applications including stablecoins and asset tokenization.

The event reaffirms Shanghai’s ambitions to position itself as a global blockchain innovation hub. The city has committed $150 million in funding through its 2023–2025 Blockchain Key Technology Action Plan, supporting public chains like Conflux as part of its broader financial digitization strategy.

CFX Jumps Over 50% as Market Reacts

Following the announcement, Conflux’s native token CFX surged more than 50% within 24 hours, while daily trading volume exploded by 822% to over $1.71 billion, making it one of the top-performing cryptocurrencies of the day.

The rally triggered an outpouring of reactions across Chinese and international crypto communities. A viral post by @_FORAB captured the shift in sentiment:

“CFX was once mocked for missed opportunities, Tsinghua ‘big cutters’ publishing useless papers, and the team splitting to work on 0G... Now it’s suddenly called Hong Kong’s hope, Shanghai’s banner, China’s pride. A few more pumps and maybe they’ll get a republic medal!”

The post reflects the emotional volatility typical in crypto — where prolonged skepticism flips into euphoric praise during rallies. Within the Chinese-speaking crypto scene, Conflux has long been seen as a technically ambitious but underperforming project. While some now call the price action “overdue recognition,” others dismiss it as a short squeeze driven by speculative capital.

Past Patterns and Strategic Uncertainty Raise Red Flags

However, history suggests caution. There were previous claims about issuing offshore RMB stablecoins on CFX, which led to a short-lived price rally — but no real follow-up materialized.

This precedent raises concern that the current rally may again be short-lived if fundamentals do not catch up. Despite the buzz, Conflux has yet to deliver widely adopted applications or sustained usage in global markets.

More fundamentally, questions persist about Conflux’s identity and strategic direction: Is it positioning itself as a neutral, globally competitive public chain, or simply acting as a rebranded domestic consortium chain benefiting from state backing?

While Conflux highlights its global footprint — 25 million users, 170 million transactions, and multi-country deployment — its narrative is still deeply tied to Chinese regulatory support. The lack of detailed public documentation about cross-chain integration, foreign developer ecosystem growth, or non-China-based enterprise partnerships fuels skepticism.

For now, Conflux’s ambiguous identity may limit broader global recognition. Investors and developers outside China remain unsure whether it offers a decentralized Web3 platform — or merely a policy-driven domestic tech vehicle.