Solana: zoom in on the cryptocurrency that will explode in 2022

Cryptocurrency investors have all witnessed the meteoric rise within the value of Ethereum throughout 2021. The ETH crypto has seen its increase by over 430% in one year, and has currently become one in every of the foremost expensive cryptos on the market (though still way more cheap than Bitcoin). On the flip facet, ethereum has gained an incredible quantity of quality, particularly with the support of many institutional investors.

For the curious, the specialists and also the amateurs, on-line commercialism has become way more democratic in recent years. several traders have additionally developed Associate in Nursing interest in crypto-currencies. This craze is tributary to the stabilization of the costs of BTC or ETH, for instance.

As we have a tendency to approach 2022, another crypto is creating a giant splash: Solana. The latter is way more cost-effective than Ethereum, and plenty of crypto specialists already agree that it guarantees spectacular growth potential.

Good reasons to speculate within the Solana cryptocurrency

Solana is currently hierarchical because the fifth hottest crypto-currency on the market, with a capitalization of over $52 billion. For reference, Ethereum presently encompasses a capitalization of over $452 billion. Solana has gained enough traction to contend with the largest players within the crypto market, however it still has lots to grant to supply nice growth.

Solana additionally shares several similarities with Ethereum. each networks are sensible contract platforms that may host comes like suburbanized money applications and non-fungible token markets (NFT).

However, Solana has one major advantage over Ethereum: its speed.

While Ethereum will presently method concerning fifteen transactions per second, Solana seems to own the potential to handle up to sixty five,000 transactions per second. as a result of this speed, several developers have flocked to the Solana network, creating it the quickest growing blockchain scheme.

Investing within the Solana cryptocurrency: the risks

While Solana is one in every of the foremost promising crypto-currencies of 2021, it’s not while not risks. Some critics say Solana has targeted on speed instead of security.

Not long agone, Solana’s network was hit by a distributed denial-of-service (DDoS) attack. though Solana remained on-line, the attack barrel capitalist confidence and caused the stock value to drop quite 20 % within the days following the incident. Currently, the value is down nearly half-hour from its peak last Gregorian calendar month. And this is often not the primary time Solana has been below attack; last Sep, the network was offline for concerning seventeen hours.

Some specialists are involved that these security problems can not be solved with Solana. in step with a recent report by institutional investment trust Grayscale, Solana uses a agreement mechanism that’s not employed by different cryptocurrencies. Sure, its protocol is quicker, however it is also a lot of prone to attacks.

Investing in Solana in 2022: an honest idea?

Despite this, Solana remains one in every of the foremost fashionable crypto-currencies in recent months, and its value has climbed over eleven,000% since the start of the year. Its exceptional growth offers it a pleasant advantage over its competitors, and plenty of developers currently like it to Ethereum or Bitcoin. However, its security issues are worrying. The network may become a good larger target for attacks because it evolves and gains quality. therefore Solana developers can ought to work effortlessly to avoid more incidents.

For investors considering Solana in 2022, make certain to contemplate it as a medium-to-long-term investment. Even quite different cryptos, that are already volatile naturally, Solana is probably going to face huge fluctuations. however if it will total its security problems, it’s the potential to rival a number of the most effective cryptos on the market.


This is not investment advice. Do your own research and only invest money you can afford to lose.