Solana- A Step Ahead of Ethereum

Recently, Australia based decentralized Energy trading platform, Power Ledger announced that company will be moving Power ledger Energy Blockchain from current Ethereum based blockchain to Solana. Ethereum has scalability issues and can not process more than 30 transactions per second. Electricity market will become granular in future. Products based Small duration timeframe will be launched, which requires programs to support large number of contracts which are scalable with the needs of the business.

Solana enables, building of user-friendly apps on its decentralized blockchain platform which are scalable, fast and have a reduced transaction cost. It is fully programable like Ethereum and enables smart contract, unlike Bitcoin which does not allow flexibility of programing. It supports 50000 transactions per second and has an Average cost per transaction is $O. 00025. It has 1059 validator nodes and has settlement finality in 400 milliseconds

Speed and credible neutrality will be the key element in the future. Billions of users will be conducting various numbers of transactions on the network. Volume size will be enormous along with the criticality of executing volume with speed. Solana. Solana is designed to handle a large volume of transactions along with speedy execution.

Ethereum is also transitioning towards proof of stake system. Under this people who are willing to validate the transactions have to lock certain stake of their cryptocurrency before being invited to validate the transactions and add new blocks to the blockchain.   This process is more environment friendly as emits lesser heats as opposed to mining.

Solana uses the Proof of stake system as well as proof of history. It enables verifying collection of hash checkpoints in parallel along with producing new hashes. It uses sha256 for hashing and ed25519 for encryption. Solana operates on unit of instructions and number of instructions can be bundled to form message and constitutes as transaction by adding signatures to message.

Solana is founded by Anatoly Yakovenko, who spent more than a decade at Qualcomm and various other companies developing, distributed operating systems.

Solana is rapidly transforming the DeFi, dApps, digital infrastructure. Oracle platform, Chainlink has entered into a strategic partnership with Solana under which Solana will get an access to oracle solution for building DeFI apps.  Singapore-based foundation MATH Global, earlier announced $20M investment partnership with Solana for development of Solana-based use cases, applications and infrastructure for its wallet business. MathWallet is a crypto wallet company that enables token storage of various chains, operates nodes for POS chains and other related services.  Serum is a non-custodial decentralized exchange, held by Serum Foundation, founded by FTX & Alameda Research, runs on Solana’s mainnet. $USDC is integrated with Solana for its scalable, cost effective and fast rails.

 Globally tokens are being issued using Solana Platform. Some of the largest busines e.g., trading platforms, marketplace, apps etc will be founded using Solana blockchain. Recently, In India, Chingari, which is a short-form video sharing platform has raised $19 million for developing a platform based on Solana blockchain. Chingari will launch its own social token, $GARI on Solana blockchain. Platforms are moving from Ethereum to Salona and bridge applications are being developed for communicating between Salona and Ethereum.  There may be cases where tokens are Ethereum based but operating platform may be based on Salona, as in case of Power Ledger.  Ethereum first hard fork, Altair upgrade is expected to be activated soon. It remains to be seen how it performs and meets the expectation

Bureau Galactik Views

Related articles