Today's Solana price is $148.65** with a 24-hour trading volume of **$3.09 billion. SOL shows 0.00% change over the past day. The circulating supply stands at 534.61 million SOL.
What Is Solana?
Solana is a delegated proof-of-stake (DPoS) single-chain protocol focused on delivering scalability without compromising decentralization or security. Its high-throughput blockchain leverages:
- Proof of History (PoH)
- Proof of Stake (PoS)
Developed by network engineers, Solana aims to become the leading blockchain for modern internet applications.
A Brief History of Solana
Founded by Anatoly Yakovenko, Solana originated from a 2017 whitepaper introducing Proof of History—a method to timestamp transactions in distributed systems. Key milestones:
- February 2018: Prototype launched by Yakovenko and ex-Qualcomm colleague Greg Fitzgerald
- Name origin: Inspired by a California beach where the founders surfed
The team addressed blockchain scalability issues by automating transaction sequencing through PoH.
How Solana Works
Solana’s scaling solution revolves around:
- Proof of History: A decentralized clock using verifiable delay functions (VDFs) to generate timestamps locally via SHA256 computations.
- Throughput: Processes 700,000+ transactions per second, attracting high-frequency traders.
- First DeFi use case: Serum DEX (developed by FTX’s team).
👉 Discover how Solana compares to Ethereum
What Is Solana Used For?
Solana is a general-purpose blockchain competing with Ethereum, offering:
- Smart contracts (written in Rust instead of Solidity)
Applications:
- Decentralized finance (DeFi)
- Non-fungible tokens (NFTs)
- Gaming platforms
SOL tokens are used for:
- Paying transaction fees
- Staking to secure the network
Key Advantages
- Low fees: Ideal for microtransactions
- Eco-friendly: PoS consensus reduces energy use
FAQ
1. How does Proof of History improve scalability?
PoH eliminates the need for global timestamp synchronization, allowing parallel transaction processing.
2. Can I stake SOL tokens?
Yes! Staking SOL supports network security and earns rewards.
3. What makes Solana different from Ethereum?
Solana offers faster transactions and lower fees due to its PoH+PoS hybrid model.
4. Is Solana suitable for NFT projects?
Absolutely—its high throughput makes it popular for NFT marketplaces.
👉 Explore Solana staking opportunities
5. What’s Solana’s max supply?
The total supply is capped at 488 million SOL, with inflation decreasing annually.
6. Which wallets support SOL?
Trust Wallet, Phantom, and Ledger are top choices.