Solana

SOL is the native cryptocurrency of the Solana blockchain, a platform that has fast transaction times and inexpensive fees.

Solana is a blockchain platform designed to facilitate decentralized app (dApp) development and support crypto-currency transactions. What sets Solana apart is its hybrid protocol system and unique timestamp technology, which is centered around a mechanism called Proof-of-History (PoH). This system creates a verifiable and secure timestamp for each transaction, which allows nodes to process transactions without needing to communicate with one another, significantly speeding up the transaction processing time.

Solana utilizes a unique model, where PoH works in tandem with a Proof-of-Stake (PoS) consensus mechanism. PoH allows for the recording of the order of events and the time that has passed between them, which mitigates the need for traditional consensus-building processes. The PoS mechanism then finalizes these transactions and secures the network by allowing validators with a stake (investment) in the system to propose and vote on the validity of new blocks.

One of the most notable benefits touted by Solana advocates is its scalability. With its unique architectural design, it can handle thousands of transactions per second, making it one of the fastest blockchain networks available. Moreover, its fee model offers low transaction costs, making it a practical choice for both businesses and individual users.

SOL is used in two ways:

Solana is an inflationary cryptocurrency with no hard cap on the total number of tokens. It has a starting annual inflation rate of 8%, which will decrease by 15% every year until it reaches 1.5%, which will be the fixed long-term rate.

Thirty-seven percent of the SOL tokens that were initially distributed went to investors, 25% was split between Solana's team and the Solana Foundation, the nonprofit steering development of the cryptocurrency, and 38% was sent to Solana Foundation's community fund reserve.

After the launch of SOL in March 2020, SOL's price bounced between $0.50 and $1.50 for the rest of the year. Then, SOL became one of the top-performing assets amid the crypto bull run in 2021, as its price hit $55.91 by May 2021. Though it dipped to as low as $23.49 in July 2021, SOL's price surged again in the second half of the year, hitting its all-time high of $258.93 in November 2021.'

Solana (SOL) can be securely purchased on a variety of popular and reputable cryptocurrency exchanges, including Binance, Coinbase and Kraken. Before purchasing, ensure that you have set up a secure digital wallet that supports Solana to store your tokens. When selecting an exchange, it's important to consider factors such as security measures, user-friendliness, transaction fees, and customer service. Always perform thorough research and consider using two-factor authentication to add an extra layer of security to your account. Remember to transfer your SOL tokens to your secure wallet rather than leaving them on the exchange after purchase.

Solana was founded by software engineer Anatoly Yakovenko in 2017 and after three years of development, the platform and token were launched.

Solana's investors include Multicoin Capital, Distributed Global, BlockTower Capital, Foundation Capital, Blockchange Ventures, Slow Ventures, NEO Global Capital, Passport Capital and Rockaway Ventures.

In August 2022, CoinDesk reported Ian Macalinao, the chief architect of Solana's once mighty stablecoin exchange Saber, hid behind anonymous developer accounts to pump billions of dollars into his DeFi empire.