What is Solana?

Solana is a project dedicated to supporting large and high-frequency blockchain applications, another goal is to democratize financial systems. How does Solana want to achieve this?

Solana is a delegated Proof of Stake protocol with a focus on scalability, without the loss of decentralization or security. Achieving scalability, decentralization and security is considered the holy grail when it comes to distributed ledger technologies. The solution Solana offers lays within its decentralized clock, called the Proof-of-History (PoH). The PoH allows each node to locally generate timestamps, eliminating the need for broadcasting these across the network. This results in a more efficient network.

The project has closed partnerships with other well-known projects within the industry like Chainlink and Civic. Together with Chainlink the team will work on a high-frequency oracle designed for trading binary options.

What is scaling and why is it important?

Scaling refers to the ability of a network to grow in size and transaction volumes without experiencing a downgrade in performance. While distributed ledger technology like blockchain is both decentralized and secure, it has proven unable to scale efficiently. Many believe that solving this problem and enabling blockchains to be both decentralized, secure and scalable will bring the technology to the next phase.

Who founded Solana?

Solana was founded by: Anatoly Yakovenko, Greg Fitzgerald and Eric Williams. Yakovenko is the current CEO and was previously employed by companies like Dropbox and Qualcomm. Fitzgerald is the CTO and also got his experience from working at Qualcomm. Eric Williams is acting as the Chief Scientist for Solana and has worked at Omada Health and founded Motion.

Solana vs other cryptocurrencies

The Solana team claims that at this moment the protocol is able to process 65.000 transactions per second. For comparison, Bitcoin is capable of processing 7 per second, Ethereum between 15 – 25 and Ripple is capable of handling 1500 transactions per second. Bear in mind that every one of those projects has different characteristics in terms of decentralization and security.

How can I use Solana?

You can buy, sell, send, receive, store and stake Solana (SOL). Staking Solana means that you will receive a reward for participating in the network and using your current holdings to help secure the blockchain.

Can I earn money with Solana?

Yes, you can earn money by trading and staking Solana (SOL). Buy low, sell high. Be aware that cryptocurrencies have proven to be volatile, and losses can follow profits. Always trade responsibly. Trade Solana SOL at Coinmerce