Solana Forecast - What is the upside potential of Solana (SOL)?

Solana – A Platform for Smart Contracts

The cryptocurrency Solana provides a platform whose blockchain was designed for fast transactions to handle dApps. From the beginning, Solana’s focus has been on high scalability. Currently, Solana has a transaction rate of 50,000 transactions per second. This is due to the fact that a new block is generated approximately every 0.4 seconds. In comparison, this takes 10 minutes for bitcoin.

This high scaling is also attributed to another advantage of the transaction. For example, the transaction fee is also SOL at an average of 0.000005, which is the current (11/21) equivalent of 0.1 cents.

This makes Solana an attractive platform to develop dApps on. Decentralized exchanges (DEX), in particular, would be a comfortable fit here. Specific examples of dApps on the Solana Blockchain include:

  • Serum: high-speed DEX supporting cross-chain asset swaps.
  • Raydium: market maker protocol for Serum
  • Oxygen: a DeFi Prime brokerage protocol

Solana Prognose Solana Prognose

Numbers Data Facts

Solana was developed and released in 2017 by Anatoly Yakovenko and Raj Gokal. Since then, Solana has always been working on expanding its blockchain to make the platform more interesting for dApps.

Solana’s blockchain relies on a mix of two consensus mechanisms. Proof of Stake provides energy-efficient verification of blocks. To be able to guarantee high scalability, Solana also uses Proof of History. Here, each transaction is time-stamped to pre-order the transactions before the blocks are added to the blockchain. Thus, nodes in the network can create blocks without having to coordinate with the entire network. For this reason, scaling is increasing extremely.

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Currently (11/21), there are around 510 million SOL on the network. With a price of $227, Solana reaches a market cap of $69 billion, ranking 5th on coinmarketcap.