Solana Is A Chinese Blockchain Designed To Support Large-Scale Decentralized Applications (Deps) With A Throughput Of 50,000 Transactions Per Second And A Block Time Of 400 Milliseconds.
Solana And SOL Ciphers, Decentralized applications are considered one of the main uses of China Blockchain technology. Over the past few years, Depots have grown rapidly, with developers creating everything from gaming to decentralized finance (DFA) on the China Blockchain platform; Similarly, the number of users has grown exponentially.
But there is a fundamental problem. Most of these depots run on Ethereum, and the network struggles with congestion and high transaction costs.
Solana, China’s blockchain platform, which started in 2017, wants to enter the campaign and win where Ethereum is paddling. This article will take a complete look at the Solana blockchain and its native token, SOL.
The titles you will read in this article:
- What is Solana?
- History of Solana
- Solana features
- The difference between Solana and Ethereum
- Programming in Solana
- Solana Innovations
- Projects built in Solana
- What is an SOL token?
- Purchase and price of Solana Token (SOL)
- Best Walt SOL
- Steak SOL
- The future of Solana
What is Solana?
The Solana blockchain is one of Ethereum’s main competitors due to its high speed and low transaction costs. This means that Solana supports a large number of decentralized applications and, at the same time, does not suffer from reduced transaction speed or high cost; That is, the same problems that brought the Ethereum ecosystem to its knees. Solana transactions cost only $ 0.001.
Solana seeks to solve one of the biggest problems of the Chinese bloc, namely scalability. Designed from scratch, this blockchain is capable of processing more than 50,000 transactions per second. Solana has always considered scalability and speed; This means competing directly with systems such as PayPal or Visa. In addition, Solana can confirm transactions in less than a few seconds. Under these circumstances, Solana becomes the ideal Chinese block for decentralized finance and trading; Because traders need an almost instantaneous time in trading.
Solana has solved this extraordinary speed by solving the problem of chronological block tracking time and the problem of time labelling by a mechanism called “evidence of history”. Evidence of history allows individual clocks on the network to synchronize, thus allowing everyone to agree.
This is the main idea of creating Solana. With a processing capacity of more than 50,000 transactions per second, Solana has attracted companies such as FTX exchange.
The project was created during the 2017 Cow Game and the flourishing of ICOs and raised more than $ 25 million from several public and private entities.
History of Solana
established Solana platform in 2017 by Anatoly Yakovenko. Yakunko worked at Qualcomm before Solana. After working for Dropbox as a software engineer, he has extensive experience in compression algorithms. Together with Eric, William, Chief Technology Officer, and Greg Fitzgerald, Yakunko devised a new way to solve operational power in the Ethereum and Bitcoin blockchain. These people decide to create a distributed protocol without the need for trust, which provides more scalability.
The team is currently using the experience of organizations such as Apple, Qualcomm, Intel, Google, Microsoft, Twitter, Dropbox, etc. Solana’s impact has attracted investors such as MultiQueen Capital, Capital Foundation, Oslo Capital, CMCC Global, Abstract Ventures, and more.
What are the characteristics of Solana?
Speed is important when it comes to decentralized applications. Ethereum currently has a network traffic problem, But Solana does not suffer from such a problem due to its high throughput.
Solana claims to be capable of processing more than 50,000 transactions per second (TPS); This makes Solana the fastest blockchain in China at the time of writing. To better understand this, we need to know that Solana is a thousand times faster than Bitcoin with a maximum throughput of 5 to 7 TPS and 3,000 times faster than Ethereum with a throughput of about 15 TPS.
50,000 TPS and 400ms of block time, secure, decentralized and no sharing.
Solana (Solana @), April 20, 2019
Solana claims to have an average block time of 400 to 800 milliseconds and an average commission of 0.000005 SOL (Solana Network Native Token). With its high scalability, Solana can host decentralized applications that support hundreds of thousands of users at a time.
Solana achieves this scalability without resorting to layered and off-chain technologies and without the use of sharding. This makes Solana one of the few Layer 1 layered blocks with more than a thousand TPS.
Unlike other platforms, almost anyone can set up a Solana node and contribute to network security by becoming an authenticator. This process completely requires a license, But users need to have at least some hardware to participate in this. The minimum hardware possibilities to become a verifier in Solana are listed in this link. The Solana network is one of the most distributed blockchains, with about a thousand endorsers.
What is the difference between Solana and Ethereum?
The main difference between Solana and Ethereum is solving the problem of scalability by layer-1 instead of using other conventional methods. Solana is designed to improve network speed and communication between nodes.
One of the main advantages of scalability in this method is that scalability, i.e. the connection between different smart contracts, is not lost. Ethereum 2.0 uses Shading; A technique that is likely to cause problems between decentralized applications at different speeds.
Programming in Solana
Solana supports smart contracts and allows developers to write decentralized applications on their networks. This means that decentralized exchanges (DEX), lending platforms and NFT markets can run on Solana.
Solana is fundamentally different in programming language and network design from Ethereum, which is currently the largest smart contract platform. The time for indigenous programming in Solana is RUST. RUST is a programming language that emphasizes performance and reliability rather than ease of use; Which means that application development in Solana is more difficult than Ethereum. Ethereum uses solidity, But depots built in Solana are more reliable.
What are Solana’s main innovations?
Solana has brought a total of eight proprietary innovations. These innovations revolve around the flow of information in the network, and their goal is to make Solana the fastest network for data transfer. These innovations include the following:
- Evidence of History (PoH): An encrypted clock for the China block
- Byzantine Tower BFT fault tolerance
- Turbine: China Blockchain Protocol
- Gulf Stream: Mempool-free routing protocol (node mechanism for sorting unverified transactions)
- Sealevel: Solana Smart Contracts
- Pipelining: A transaction processing unit
- Cloudbreak: Database of user accounts
- Archivists: Save China Block History
Let’s take a brief look at these innovations:
- History Proof (PoH): Solana has introduced a new way to decentralize the Chinese bloc to its users further. The PoH system includes the history of blockchain transactions, and its purpose is to prove the transaction before it is recorded in the ledger (ledger). This is done by the “Delay Verification Function” in Solana. In the Solana blockchain, transactions are embedded in time labels; This allows a series of events to be processed before the latest blockchain status is broadcast across the network. Transactions are entered into blocks through a process called “sequential robust hashing”. This process means immutable hashes. These hashes are then used as input in the next transaction. In the next step, these components are labelled when the actual process is recorded. This saves time when re-validating each hash function.
- TowerBFT Consensus: This consensus is Solana’s version of Byzantine Practice Tolerance (PBFT). This consensus algorithm uses PoH as the cryptographic clock to avoid huge overheads and delay transactions. Before finalizing the general ledger mode, the verifiers vote on which version of the general ledger is correct, and then their vote is locked. This means preventing a new vote in the next version of the China Bloc and not complying with the previous version.
- Turbine: Solana facilitates data transfer to all blockchain nodes by splitting data into smaller packets. This helps Solana solve bandwidth problems and make transactions faster.
- Gulf Stream: By making the block verification process easier, Solana can reach a throughput of 50,000 transactions per second. Golf Stream simplifies the process of getting and sending transactions before finalizing the next set of block verifications.
- Sealevel: To achieve more efficient execution times, thousands of smart contracts are executed in parallel in Solana. Transactions that are in the same state in the blockchain can be executed simultaneously.
- Pipe Lining: A set of blocks that contain transaction information is quickly validated across network nodes. Solana does this by assigning a stream of input data to various hardware.
- Cloud break: Solana achieves scalability without the risk of sharing by managing a database that reads and writes transaction input simultaneously. Cloudbreak creates a data structure in which transactions are processed in software that uses all the hardware responsible for indexing the data.
- Archivists: Solana allows each node to copy China Block data based on the hardware space. Archivists download their relevant data from verifiers. This data is available over the network.
What projects have been built on Solana?
Like many other platforms, Solana has a fast-growing ecosystem of depots with smart contract capability built-in in 2017. Many of these depots are now considered pillars of defence. Here are some of Solana’s most famous depots:
- O3Swap: A cross-chain aggregation protocol that supports liquidity resources including Ethereum, Binance China, Neo and Huobi Eco.
- SolStarter: A decentralized exchange project that will be released on Solana soon.
- Arweave: A decentralized data storage protocol that enables permanent storage of large files.
- Oxygen: Defy Broker protocol that allows users to extract value from their stagnant assets.
Solana’s partnership with Serum
The serum is a high-speed decentralized exchange with a spot market and non -safe derivatives built on Solana. The reason for making Serum on Solana is the use of both centralized and decentralized worlds, an exchange that is unsafe and can be censored and at the same time fast, cheap and with high liquidity. This is only possible because Solana allows the serum to run on the online central order office (CLOB), updated every 400 milliseconds.
What does this mean for digital currency traders and defeat? This means that the serum has a lower latency and cost (network fee).
What is an SOL Token?
Solana, like other smart contract platforms, has its own “native gas token” called SOL. All transaction costs and smart contracts on the Solana network are paid with SOL as a gas token. The token was first released on mainstream networks and the Solana beta in March 2020.
The SOL token can be stuck to help secure the network, in return for which the sticker will be rewarded with a percentage of inflation. The SOL token can also use for the on-chain governance process.
Price and purchase of Solana tokens (SOL)
Due to the popularity of SOL, these cryptocurrencies are available in the most popular exchanges. According to data from Quinn MarketCap, several exchanges support Solana tokens, including reputable exchanges such as Binance, Hobby Global, Bitfinx, Bithamp, Coquin, OKX, etc.
From this link on the Kevin Market Cup website, you can see the list of exchanges that supply Solana and its current price.
What is the best digital wallet to store Solana tokens?
The best hardware wallets that support SOLA tokens are Ledger and Treasury hardware wallets.
Meanwhile, Solana’s official website has announced the best wallets for Solana as follows:
- Mobile wallets: Exodus, Trust Walt and Coin98, Zelcore
- Web wallet: Phantom, Solfare, Sollet and Mathwallet.
How to extract Solana (SOL)
Extraction of Solana is not possible; Because this blockchain, unlike Bitcoin, was not built on a consensus. Solana can only be purchased through exchange offices, or the SOL token can be obtained by sticking.
SOLANA STICK (SOL)
Solana’s network is based on stock evidence that supports sticking. Authenticators process transactions and execute the network. Because the selection of validators is based on the number of SOL tokens, the verifier with the most tokens is more likely to be selected to enter information into the Solana blockchain and be rewarded with SOL tokens.
So verifiers try to persuade other SOL token holders to give them their tokens to stick to; That is, a win-win game in which the token holder receives his stick reward and the confirmer who is more likely to be selected. In doing so, approvers offer less commission to persuade holders.
How to stick a Solana token
The SOL stick can be a way for the token holders to make a profit.
- To do this, transfer the SOL tokens to the wallet that supports these cryptocurrencies, for example, the wallets mentioned in the previous section.
- Create a Stake account. The address of the stick account is different from the address of the wallet. The stick account is connected to the wallet account.
- Select a Validator. As explained in the previous section, your tokens will be provided to the verifier as your representative.
What is Solana’s future like?
Solana has solved many of the traditional problems of the Chinese bloc and provided a new structure for transaction validation and a more efficient consensus algorithm. This platform will definitely be a serious competitor for Ethereum and Cardano. Solana has seen rapid growth in the digital currency industry over the past 10 years. Undoubtedly, we should look forward to further development of this platform in the future.
On the other hand, Solana has been developing since 2017; But as of March 2021, it is in its beta core network version, and there is no set timetable for its finalization. Of course, unlike most beta platforms, Solana is ready for release, and the beta tag only points to minor bugs.
In addition, the five new Crypto Funds have allocated $ 20 million to support the development of projects built in Solana, China, thus consolidating Solana’s global standing.
But the question is: can Solana take Ethereum as a platform for smart contracts? What do you think about this?