The market value of the public chain Solana reached a new high of $35.3 billion on the evening of the 20th, surpassing the market value of Ripple (XRP) at $33.7 billion, and becoming the fifth largest cryptocurrency, closely following the market value of Binance (BNB) at $39.99 billion, the largest cryptocurrency exchange in the world.
After experiencing the bankruptcy of the cryptocurrency exchange FTX, the veteran public chain Solana finally made a comeback, reaching a market value of $35.3 billion, the highest level in nearly 20 months, surpassing the market value of Ripple (XRP) at $33.7 billion, and ranking as the fifth largest cryptocurrency. It seems to be only one step away from the market value of $40 billion of Binance (BNB), the largest cryptocurrency exchange in the world.
In addition, Solana’s Total Value Locked (TVL) also exceeded $1 billion this week, reaching a new high since the bankruptcy of FTX last year. The price of SOL has surged by 11.6% in the past 24 hours and was trading at $82.26 at the time of writing.
The reasons for the rise of Solana are as follows:
We know that Solana used to have a close relationship with the bankrupt cryptocurrency exchange FTX, but since FTX and its founder SBF collapsed due to allegations of fraud in November last year, Solana’s token price has fallen sharply, reaching a low of around $10, which is less than 4% of its historical high.
However, with the recovery of the cryptocurrency market in the second half of this year, Solana has gradually overcome the negative impact of FTX’s bankruptcy and has shown new vitality in the continuous development of its ecosystem. The main reasons for the recent rise in Solana’s token price are as follows:
We know that the second largest cryptocurrency, ETH, has over 7,000 nodes, while Solana has less than 3,000. However, the TPS of the ETH mainnet is only between 12 and 15, while Solana claims to have 65,000 TPS, with a daily average of 2,500 to 3,000. This also means that in the recent wave of Bitcoin ecosystem frenzy, Solana is almost the only Layer1 public chain capable of withstanding artificial DDOS attacks.
Solana’s mobile phone Saga has collaborated with the meme coin Bonk in its ecosystem. As long as users hold the Saga Genesis Token obtained when starting the Saga phone, they can claim up to 30 million Bonk meme tokens in the Bonk App. The equivalent value of Bonk tokens has skyrocketed to over $750, surpassing the official price of Solana’s Saga phone at $599. If users still hold these tokens, they have really “made a profit”.
The GPU computing network Render network announced its migration from the public chain Polygon to Solana, demonstrating Solana’s importance to projects like DePIN (decentralized physical infrastructure network). Recently, mobile has become popular, and Solana’s advantage in synchronization speed has met the demand for large-scale hardware deployment.
Solana’s current ecosystem development is thriving, and many people believe that Solana’s token price will continue to rise in the future, even standing on par with ETH. The following are the projects in Solana’s ecosystem:
DeFi: Marginfi, a decentralized lending protocol; Jito, a liquidity staking platform; Pyth Network, an oracle.
NFT: Magic Eden, a decentralized NFT trading market; Mad Lads, an NFT series.
DePIN: Helium, a decentralized wireless network; Render Network, a GPU computing network.
Payments: Visa, a payment giant; USDC, a stablecoin.
RWA: Maple Finance, a blockchain infrastructure provider.
GameFi: Star Atlas, a AAA-grade NFT game.
Hardware & Meme: Sage, a smart phone; Bonk, a meme coin.
Wallets: Backpack, Atomic Wallet, Exodus, Phantom Wallet.
Related reports:
Solana Aggregator Jupiter’s first round airdrop of 1 billion JUP! Off-exchange price currently reported at $0.23.
Interview with Backpack founder: Completely different from FTX’s technical structure, Solana is attractive enough to attract talent.
Solana phone sales are disappointing! It sold less than expected, only 2,200 units out of 10%.
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