Nazia Saeed
Sei Labs, the core development team behind the Sei blockchain, has unveiled a sweeping proposal to eliminate support for Cosmos transactions and CosmWasm smart contracts, marking a dramatic pivot toward an Ethereum-only future.
The initiative, outlined in a proposal dubbed SIP-3, would transition Sei entirely to an Ethereum Virtual Machine (EVM)-compatible framework. According to Sei Labs co-founder Jay Jog, the move reflects where most of the network’s activity already resides and is designed to simplify the blockchain’s architecture while enhancing the developer experience.
Jog described the shift as essential for building “Sei Giga,” a high-performance, usability-first blockchain. By narrowing the network’s focus to a single virtual machine, the team aims to improve throughput and reduce unnecessary technical complexity.
Newsletter
Get weekly updates on the newest crypto stories, case studies and tips right in your mailbox.
Market reacts positively to EVM transition
Following the announcement, the price of SEI rose 7% to $0.20, signaling strong market approval of the proposed changes.
SIP-3 will formally make Sei an EVM-only blockchain. All Cosmos-based features will be phased out, consolidating transaction processing and smart contract development under the EVM standard. Sei Labs says this will reduce operational overhead and foster a more cohesive development environment.
The change is expected to deepen Sei’s integration with the broader Ethereum ecosystem and attract developers seeking both performance and simplicity.
Infrastructure and developer ecosystem to undergo changes
This architectural overhaul will require significant adaptation from Sei’s infrastructure providers and developers. Existing wallets, dApps, and services must transition to EVM-compatible formats. Applications currently built on CosmWasm will need to be redeployed.
Additionally, users leveraging Cosmos-native tools for asset management may need to migrate or off-ramp their holdings as part of the transition.
Despite the shift, Sei Labs confirmed that core protocol functionality will remain intact. Internal Sei addresses (such as validator addresses) will still be used, and features like staking and governance will continue to operate through precompiles.
Sei Labs framed the EVM-only move as a forward-looking decision, positioning the network for greater scalability, improved developer alignment, and deeper synergy with the dominant Ethereum ecosystem.
