What is Solana and why was It Designed?

Introduction

We are in a time where different crypto projects are doing amazingly well. BTC the father of all cryptocurrencies has passed the $70k level and still moving. Many predict it to reach $100k after the bull run. We see project that worth nothing before now climbing so high in value. No hour passes with you seeing a new price alert. A coin you didn't buy today will by tomorrow add a lot of value you can't even imagine. This is the world of cryptocurrency during the bull run. Now let talk about one of this crypt making waives; Solana.

Solana keeps making waives all over the internet. There are a lot f coins doing absolutely well but Solana is making name and a lot of people are talking about it. I keep receiving many notifications all about Solana and other threading cryptocurrencies.

In this post I will focus on the crypto market and what we are to expect in the coming days. Stay with me as I drive you through the space of knowledge.

It is so surprising how a coin that have worth almost nothing at it lunch could today be the talking point of everyone. Just like other cryptocurrencies, on March 2020 $SOL was lunched at the price of $0.62 and at some point it went so down to 0.03 meaning that a lot of people sold off the coin.

Approaching the bull run Solana becomes what everyone is talking about. Because of it like fee and and fastness in executing transaction. Many today prefer trading it over $BTC and $ETH. Have you ever transferred your Bitcoin or Ethereum from trust wallet to other wallets, or between two different wallets? Then you will understand why many today prefers buying and trading Solana.

Many today might have questions about Solana. Like;

• What is Solana?
• Why was it designed?

Let's take a little about what Solana is and why it was designed. Digging deep in this topic will help us understand Solana better.

What is Solana?

Solana is a Blockchain that uses Proof-of-stake and Proof-of-histoey consensus mechanism. It blends the two consensus mechanism together making it work exception. Unlike Bitcoin, Litecoin, and other blockchain. Using this kind of consensus mechanism means that it uses timestamp to define the next block in the Solana chain. Bitcoin use the Proof-of-work consensus mechanism, so that is why the next block is determined by miners.

For the sake of newbies, a Proof-of-stake consensus mechanism is a type of consensus mechanism that utility system validators to create new block in a Blockchain. This consensus mechanism help add more security to the Blockchain.

Why was Solana Designed?

Ethereum was created not just for financial use like Bitcoin but also to serve as the the core platform for decentralized applications (Dapps). Is it true that enables decentralization and security but the gas fees associated with it is so high.

The proof of work consensus mechanism is slow and at the same time consume a lot of energy. This make the gas fee for transacting in this kind of blockchain very high. This is why Solana is considered the savior in the Crypto world and the killer of Ethereum. How?
First it doesn't consume a lot of energy and at the time it transaction can be very fast.
Solana is scaling fast and is making great waives. Here is what I mean. This year 2024 Solana has rose more than %50.
Solana went from $79 to $118 from the month of January to the month of February.

Then from February to match it experience a great increase in price. It rose from $118 to $197. It doesn't stop there

This months. Some day ago Solana reach it all time high $204. Many were surprised at this while others thinks that this is just the beginning of a great project.
Many are predicting Solana to reach $500 before the end of the bull season, and I think if time is not take Solana will compete with Ethereum in price. Reason is that since Solana can rise from $0.6 to $204 then surpassing Ethereum in price won't take all that long.

I think now is the best time to buy Solana. Because the price may go very high that many will find it difficult to buy. So is better we go after the dark goat in the noon not in the night when it will be difficult for us.

Many didn't take Bitcoin serious when it started. I even read on someone's blog that someone purchase Pizza with more than a thousand Bitcoin. So many back then didn't value or took it serious.

*Please note that I'm not a financial adviser, I only write this thing for educational purposes. Time your time, do your own diligent research and invite wisely.

Credit

All pictures are screenshots from coin market cap and the binance app.

Posted Using InLeo Alpha