What Is Solana Coin? Solana Fundamentals Review For Beginners!
By reading the article “What Is Solana Coin” published in Adaas Investment Magazine, you will get acquainted with the SOL token and what are the risks and benefits in general. This level of familiarity can be enough when you need educational information about this topic.
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We do not persuade anyone to invest or not invest in any asset.
Table of Contents
Introducing Solana Coin
The Solana platform is a fast and inexpensive blockchain designed to provide infrastructure for smart contracts and decentralized applications.
In the blockchain industry, the three factors of decentralization, security, and scalability have the greatest impact on the performance and popularity of a platform. So far, very few blockchains have been developed that have been able to provide all three factors.
Bitcoin blockchain, for example, is very secure but has not yet solved the scalability problem. Blockchains such as Ethereum have also faced this problem, causing users to lose the platform. But Solana Blockchain has been able to solve this problem and provide a platform with fast and cheap transactions.
What is scalability?
Scalability is the ability to approve and process a large number of requests on the network.
What are the features of the Solana coin?
As you can see, first-generation blockchains have a scalability problem. Second- and third-generation blockchains, such as Polkadot, also use the Side Chain solution to solve this problem.
One of the biggest features of the Solana coin is solving the problem of scalability within the on-chain. For example, one of the solutions to increase scalability for the Ethereum blockchain is to use layer-2 projects in which transactions are approved and processed outside the main Ethereum chain and finally recorded in the main chain.
In Solana Blockchain, all transactions in the main chain are processed and approved. This feature helps to increase the security of users as well as the decentralization of this platform.
Another feature that Solana coin provides is the new concepts and innovations of this platform that make this blockchain powerful. In the following, we have prepared the most important innovations of the Solana blockchain for you.
How does the Solana work?
Solana Currency has developed its own workflow for the transaction approval and processing process, which is a bit complex and new. Simply put, the Solana blockchain delegates various tasks to its nodes to increase the speed of transaction approval and processing, and at the same time increasing network security and decentralization.
An example to understand how the Solana blockchain works
Imagine a company with the same number of employees as the nodes of the Solana blockchain. In this company, all employees are proficient in all the required skills. For example, an employee of the finance department has the ability to work in the customer support department in the company.
At the same time, each employee may be randomly selected as the boss for a period of about 90 minutes. When they are selected for this position, they have the duty to sign and approve the company documents. All signed documents are checked by the relevant departments and if there is no error, it is registered in the database.
Technologies used by the Solana platform
The Solana platform is a complex blockchain with important innovations in the areas of consensus mechanism or database structure.
To understand all the technologies used in this blockchain, you need computer and network knowledge at professional levels. In Adaas Investment Magazine, we have prepared a list of the most important innovations for you, and for a detailed study of how each one works, you can use the whitepaper of the Solana coin.
Solana Cryptocurrency uses 8 new technologies for its blockchain. These technologies include:
Proof of History – hours before the consensus process
Gulf Stream – Transaction Transfer Protocol
Tower BFT – Consensus Algorithm
Cloudbreak – The structure of the database
Archives – Data Archive in Solana
Pipelining – Transaction processing unit to improve validation
Sealevel – parallel processing engine of smart contracts
Turbine – Block propagation protocol
Solana tokenomics review
Solana coin has introduced its token, abbreviated SOL, to the cryptocurrency market, and this token can be transferred under the Solana blockchain.
Token supply amount
The official documents of Solana coin indicate the maximum supply of 500 million units of SOL tokens, which after burning about 11 million units of SOL tokens, the maximum supply has reached 488,634,933 million units, currently more than 300 million units are in the market cycle.
Token supply allocation
SOL tokens allocation is as follows:
- 16.23% at the Seed Sale stage
- 12.92% in the Founding Sale stage
- 5.18% at the Validator Sale stage
- 1.88% in the Strategic Sale stage
- 1.64% at the Coinlist Auction Sale stage
- 12.79% for the development team.
- 10.46% is allocated to the Solana Foundation.
- 38.89% is allocated to the Solana community.
Solana coin roadmap review
In the official documents of the Solana platform, the roadmap for the development of this platform until the end of 2020 has been published, and we have prepared the most important goals and achievements of this blockchain for you.
In 2018, the official white paper was released, a single-node and multi-node test network were released, as well as a software development kit was released.
In 2019, on-chain programs, virtual machine implementations, smart contract engines, and incentivized and multi-cloud test networks were released.
In 2020, the release of the beta version of the main network and finally the release of the final version of the main network of Solana blockchain has been done.
Solana development team
The development team of Solana blockchain consists of 14 people, and we will introduce the founder and co-founder of this project to you.
Anatoly Yakovenko
He is the CEO of Solana Labs.
He previously led the development team on the Qualcomm, Mesosphere, and Dropbox projects.
Raj Gokal
He is the Co-founder of Solana Labs.
He is in charge of the department, product, and finance at Solana Company. It also launched Sano Medical Devices, which raised more than $ 20 million.
If you want to read all the members of Solana’s development team, you can see the official members of this company through the link below.
Solana coin investors
The Solana platform has gained the trust of many professional investors as well as small traders after proving its performance. In this article, we have introduced 4 big investors in this project for you.
Solana cryptocurrency exchanges
To trade SOL token, users can use the following exchanges:
- Binance
- Coinbase
- FTX
- Karken
Also, You can visit the Solana cryptocurrency profile at CoinMarketCap.com to view the latest updates from exchanges that support this token trading and check their inventory through the following link.
The end words
At Adaas Capital, we hope that by reading this article you will be fully immersed with What Is Solana Coin. You can help us improve by sharing this article which is published in Adaas Investment Magazine and help optimize this article by submitting your comments.
Resources
FAQ
What Is Solana Coin?
The Solana platform is a fast and inexpensive blockchain designed to provide infrastructure for smart contracts and decentralized applications.
Where to trade Solana?
– Binance
– Coinbase
– Karken
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