2021-09-07
The Hype of Solana (SOL)
Solana had made its move once again. Previously traded at $14.75 on 27 March, 2021, and recently skyrocketed to $ 172.45 on 7 September, 2021 with 24-hour trading volume of $ 6,215,248,929. In less than six months, Solana's value rose up more than 1069.15%.
Solana was officially launched by Solana Foundation, located in Geneva, Switzerland in March 2020. The project brainstorming and idea began in 2017. The project mission is to bring faster yet low-cost services.
Solana is a highly functional open source project to provide decentralised finance (DeFi) solutions on blockchain technology. The protocol behind the project is designed to facilitate decentralised app (DApp) creation. Introduction on the proof-of-history (PoH) consensus combined with the underlying proof-of-stake (PoS) consensus of the blockchain allows more extensive scalability of the protocol. This enhances usability and also makes DeFi more accessible on a larger scale.
Solana’s name begin to surface due to its short processing times. Its lightning-fast processing times has sparked a lot of interest, including institutions. Solana’s hybrid protocol allows short time validation for both transaction and smart contract execution. The protocol is also designed to have low transaction costs with broad scalability and fast processing time.
Besides cost-efficient, fast and large scalability, Solana also emerges well in the DeFi and the NFT space. Yesterday (6 September 2021) FTX announced their plan to launch an NFT marketplace with cross-chain trading between Ethereum and Solana.
On most NFT and DeFi platforms, users have to pay for the transaction costs required to process and validate their transactions on the blockchain. Some are for registration transactions, minted processes, and more. This transaction is known as gas fees. Most NFT and DeFi projects are hosted on Ethereum ecosystem via smart contracts, supporting the native token Ether (ETH). ETH high gas fees are one of the factor for Solana’s fame.
Solana sets its new all-time high after deciding to move into NFTs as it serves as a viable alternative hub for decentralized finance and Non-fungible Tokens. Some investors even view Solana as a resilient and better alternative to Ethereum.
Solana can be purchased on exchanges like Binance, Huobi, FTX, OKEx, Digifinex or P2P platforms like Moonpay, Ramp, Simplex, and Remitano. However, please remember to do your own research before investing.
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