Solana has been making headlines all over the place these days, and the project’s success keeps growing.
Just the other day, we were addressing the fact that in the past, the huge demand for Ethereum block space has led to network congestion, and this obviously resulted in very high transaction fees.
This congestion has created various opportunities for Layer 2 solutions, sidechains, and new Layer 1 networks – these are aiming to build scalable dApps beyond Ethereum. Solana is one of these Layer 1 networks, and the project’s success seems to be booming.
We recently addressed the top 5 Solana ecosystem coins, and we suggest that you take a look at the previous article.
NASDAQ revealed recently five reasons for which SOL keeps growing, and the project is seeing such massive success.
Solana’s move into NFTs
The article notes that Degenerate Apes was Solana’s first big foray into NFTs. This collection of costumed apes features various traits with various degrees of rarity. The collection sold out in less than 10 minutes.
Solana attracts a wide range of projects
There are more than 400 projects built on Solana’s network and these include DeFi apps.
Investors are looking for ETH alternatives
People are currently looking for alternatives to Ethereum, considering the fact that the network is struggling with high fees and congestion.
If Solana continues to perform great, there’s a massive chance that it could become a better choice.
The launch of a wormhole project
For Solana, the wormhole offers a way to bridge different networks.
“According to Coindesk, projects can now use the wormhole to move assets between Ethereum and Solana quickly and cheaply. Solana says the next step will be to connect Terra (LUNA) and the Binance Smart Chain,” NASDAQ writes.
Solana is fast
SOL is one of the fastest cryptos in the block. The project claims it can process more than 50k transactions per second that cost less than $0.01 per transaction.
This is competitive with Visa’s payment processing capabilities. Solana says it will be able to get faster as hardware improves – it could reach 700,000 TPS. Ethereum processes 15 to 45 TPS.