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What Is Solana and How Do You Invest In It?

What is Solana and How Do You Invest In It

What is Solana and How Do You Invest In It

Introduction.

Cryptocurrency took the world by shock when it was initially released by Satoshi Yakomoto which was initially called Bitcoin. 

Ever since then the world has seen an evolution of money. Long before then, the US government thought they had control over global finance.

After signing the Bretton Woods accord and in 1944 which pegged the US dollar to gold and later on flipped by President Nixon who took the US dollar off the gold standard and pegged the US dollar to trust, allowing the US to control over global economy and print fiat cash at an uncontrolled stance.

Just in the 2020 year alone during the pandemic, the US federal reserve printed 40% of all the currencies it has printed in history in one year to avoid going bankrupt.

The sad truth is that too much money in circulation causes inflation and most times leads to a boom in another business sector, the truth is, that excess money has to go somewhere.

All thanks to cryptocurrencies, we can secure our wealth to avoid the trap of inflation caused by the Federal Reserve.

Bitcoin started the revolution more than 14 years ago and was able to create more millionaires than any global business industry. 

Sadly, not everyone was able to tap into that reality, but it gave birth to many other alternative coins, which followed the same protocol as Bitcoin did, these coins include Etherum, Litecoin and over thousands of counting.

This is what I tell people when investing in cryptocurrencies, you don’t have to rush because they will always be a next time, try as much as possible to understand the rudiments to be prepared against the next moving train.

Bitcoin came and in less than 12 years it hit 7 figures, heading to a million in the next decade, just behind it was Etherum who brought a different vibe into the world of cryptocurrencies, allowing people to build on top of its platform, not so many people had enough information to purchase Etherum when it was less than $50 now it’s over $4,0000 in less than a year.

I am happy to announce to you that there is another moving train, this time it came with another spice, making it the fastest blockchain alive, it is sometimes called the 5th generation blockchain.

Dear readers, I present to you the future of money, the next cryptocurrency to produce the largest amount of cryptocurrency billionaires, Welcome Solana.

What is Solana?

Solana is a newcomer blockchain network focused on fast transactions, It has been credited with the title of the fastest and most efficient blockchain service globally. It adopts a new method of verifying transactions called proof of history.

Solana was Founded in 2017 by Anatoly Yakovenko from Solana Labs to compete with established cryptocurrencies such as Bitcoin, Ethereum which suffered speed issues to become the fastest growing blockchain network alive.

Solana blockchain can handle thousands of transactions per second because it uses a unique method of ordering transactions to improve its speed.

The native coin used in the Solana ecosystem is called SOL, with it, users can pay their transaction fees and interact with smart contracts.

In 2021, there were about 302 million SOL in circulation. Like many coins, Solana has a restricted annual distribution, as coins are rewarded to those supporting the cryptocurrency.

Why You Should Invest in Solana.

Solana has risen quickly in a short period and is growing fast enough to become the fastest growing cryptocurrency in recent times, so even those who have purchased recently are likely to have made significant money.

In this section, I am going to list out vivid reasons as to why you should become part of the Solana blockchain ecosystem.

1. Solana is Fast.

Scalability is necessary for any project to succeed, this is why big players in the cryptocurrency industry like Ethereum and Bitcoin are likely going to be a major loser because their networks have become too loaded thereby making them not scaleable.

Solana has grown so fast to become a rivalry to Ethereum, largely because of its speed.

Solana can support tens of thousands of transactions per second compared to only about 13 transactions for Ethereum, which currently operates on a proof-of-work, model that requires miners to complete complex calculations to validate transactions.

Solana’s proof-of-history, and proof-of-stake, models verify transactions based on coin ownership, making it process way faster than every other altcoin including Bitcoin. This has made Solana have way lower fees than Ethereum.

2. NFTs and smart contracts.

NFT’s are becoming a major player in cryptocurrencies with more projects being created and minted daily.

Ethereum was the first cryptocurrency to introduce smart contracts, and ever since, it has witnessed massive adoption among every other blockchain network including Solana.

Solana is also rapidly gaining market share in the high-growth non-fungible token world. NFT marketplace Solanart runs on the Solana network, allowing NFT buyers to enjoy faster transaction speeds and lower fees than buyers on the Ethereum network.

The increasing demand for smart contracts and NFTs could be a major determiner for the long term success of Solana.

3. Consider The Environmental impact.

Bitcoin and Ethereum over the years have become the largest emitter of CO2 which is a major discussion among world leaders.

Their negative environmental impact may slow the growth of these two major players in the crypto world.

The computing power needed for mining Bitcoin and verifying transactions currently generates about 60 million tons of carbon dioxide per year, giving Bitcoin roughly the same carbon footprint same as an entire industrialized nation.

Solana, on the other hand, is less energy-consuming, making Solana a greener alternative and more environment friendly to Bitcoin and Ethereum.

What do you think?

Written by Udemezue John

Udemezue John is a web developer, digital marketing expert, and a Serial Entrepreneur.

He Started his digital marketing career at a Health and Wellness network marketing company where he learnt to create paid Facebook ads and Google ads.

He brings a unique, uncensored approach to his travelling experience and writing.

He is also a seasoned investor, a finance education expert currently exploring the stock market and Cryptocurrencies.

His work is published in major publications on Medium.com, and many others.
Udemezue John started my journey as a digital nomad in the year 2013 after completing his high school, to seek financial freedom, and also to help small and large scale businesses seek the financial freedom they need.

Life is to be enjoyed. You can connect with me on twitter Twitter.com/_udemezue

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