Tuesday, December 7

Why is Solana going up 30% and is it already the 4th cryptocurrency in the industry?


To the question of why Solana rises, we can say that SOL, its cryptocurrency, has once again broken a new all-time high, becoming the fourth cryptocurrency in the industry by capitalization. Solana’s price grew 30% in the last week, hitting a new ATH of $ 260 USD per unit. The market capitalization of this cryptocurrency is currently $ 75.2 billion; value with which it eclipsed Cardano (ADA) and Tether (USDT), which now rank sixth and fifth in the industry, respectively.

Solana, founded by Anatoly Yakovenko in 2019, is a decentralized and open source blockchain network focused on scalability. Thanks to its hybrid consensus protocol, which combines Proof of Stake (PoS) with Proof of History (PoH), it is able to offer faster and more accessible transactions than other existing chains. Its scalability, speed, usability and interoperability properties have led it to become the fastest blockchain in the world. And in one of the preferred by developers for the construction of DeFi protocols and NFT projects.

Sol, the crypto of the Solana blockchain, hits highs driven by DeFi and NFT

Why is Solana going up?

Last week, Solana Ventures joined two major industry leaders, Lightspeed Venture Partners and FTX to announce the creation of a $ 100 million fund; that will be destined to the creation and development of new companies focused on NFTs and blockchain games.

Amy Wu, a partner at Lightspeed Venture Partners, reported on Twitter that the joint initiative of venture capital firms Solana Ventures, FTX and Lightspeed would drive the creation of a new generation of web-based games3. These games are breaking new ground in the worldwide phenomenon of GameFi, which are games based on blockchain and the Play to Earn or “play to win” mechanics.

Wu stressed that they will continue to invest in game studios, platforms and infrastructure companies, to further expand Solana’s rich scalable ecosystem. Recently, the network saw the birth of a new NFT project on its blockchain: Orcanauts, which has had a great reception in the crypto community.

NFTs break into eSports with the help of TSM FTX and the Solana blockchain

The growing interest in NFTs and Play to Earn blockchain games is motivated by Facebook’s fierce entry into the Metaverse. The social media company will evolve its business under its new name Meta. Wu stated that the future of the Metaverse is in blockchain games and that these, in turn, will drive the mass adoption of cryptocurrencies.

Phantom, more than 1 million users

Phantom, Solana’s native wallet, is also experiencing new ATHs this week. The digital wallet for sending, receiving, storing and staking with SOL and swapping with other cryptocurrencies, is growing in adoption, exceeding 1 million active users. Phantom also helps Solana users connect with DApps and protocols based on this blockchain.

FTX allows you to buy Solana’s NFT with dollars and credit cards

The founder of The Block posted on his Twitter account that the number of active users on Phantom doubled in the last 5 weeks, showing the great interest and demand that exists for Solana’s DeFi and NFT projects. The developers of the wallet too reported that between August and October of this year, the number of active users per month (MAU) in Phantom multiplied 5 times.

17,000% growth in one year

With a new ATH of $ 260 USD, SOL records gains of more than 17,000% in the last year. As of early November 2020, the unit price for SOL was approximately $ 1.5 USD. Thus, with its new historical maximum price, SOL registers a growth of 17,300% in just one year. Evolution of the price of Solana (SOL) in the last year.

Evolution of the price of Solana (SOL) in the last year. Source: CoinMarketCap

Solana, the cryptocurrency whose value has soared thanks to NFTs

Solana’s daily trading volume is approximately $ 2.7 billion. On the other hand, the cryptocurrency has 68% of its total supply in circulation. According to data from CoinMarketCap, of the 508,383,554 SOLs created, a total of 302,512,514 SOLs are already circulating in the markets.

Break Point, celebrating 2 years of Solana

The Solana Foundation is holding its first conference, called Break Point, which is taking place in Lisbon (Portugal), started yesterday in Lisbon and lasts until November 10. Conference attendees will be able to claim free and exclusive NFTs in their Solflare wallets.

The conference aims to bring together industry leaders, builders and innovators from around the world and the Solana community. To share experiences on everything the network has achieved in these two years of development and to seek ideas and inspiration for everything that follows.

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