Solana is a popular blockchain platform known for its fast transaction speed and low fees. It has gained significant attention in the crypto community over the past year and has become a popular choice for developers building decentralized applications (dApps) and non-fungible tokens (NFTs).
However, on February 25, 2023, the Solana network experienced a major outage that lasted for several hours. The network outage caused a halt in the processing of transactions and prevented users from accessing dApps and NFT marketplaces built on the Solana blockchain. The cause of the outage is unknown but is likely related to a recent validator upgrade. The Solana team quickly took action to resolve the issue by deploying a patch and restarting the network.
Despite the temporary setback, the outage did not affect the underlying protocols on the Solana blockchain. This means that the security and integrity of the network remained intact, and users' funds were not at risk. Furthermore, the Solana team's quick response to the issue demonstrated their ability to handle network disruptions and maintain the stability of the platform.
The outage didn't affect the ecosystem, however, with NFT markets and DeFi on Solana continuing to thrive. Many major NFT projects pumped following the outage, and DeFi protocols, such as Drift, continue to set all-time highs in usage.
The resilience of the NFT market on Solana following the outage highlights the versatility of Solana's products and their ability to accrue value independently of network disruptions. This is a testament to the strength of the builders, communities, and the innovative use cases being built on top of it.
NFT Redemption Arc?
Many popular NFT projects, such as Claynosaurz and Galactic Geckos, saw explosions in their floor price as they set new all-time highs in SOL. These NFTs demonstrate that Solana is not just alive - it's thriving. As these high-quality projects continue to grow and expand their network, they'll quickly fill the gap that y00ts and DeGods left by leaving Solana.
But NFTs themselves aren't the only growth the NFT ecosystem is experiencing. Tensor, a pro-NFT trading platform, has experienced tremendous growth following the announcement of their season two of airdrops. Tensor has been able to eat up to 45% of Magic Eden's market share, demonstrating traders' interest to support the Solana native project over Magic Eden with their recent muli-chain expansion.
Tensor has also filled a seed round of $3 million, led by Placeholder, showing interest from investors to support more Solana native marketplaces that drive innovation and growth to the blockchain. Solana is far from dead.
Solana DeFi Is Thriving
DeFi is also experiencing tremendous growth. NFT lending platforms, such as Sharky Fi, have reached an all-time high of 300,000 loans taken, with $4 million in active loan volume in just one week. This demonstrates the active interest in using DeFi on Solana, despite network disruptances that make some wary.
Drift, a decentralized derivatives protocol, continues to set new all-time highs in users. With Solana's blazing-fast speed and low transaction cost, it is an optimal network for traders. The explosive growth shows traders' interest in continuing to use DeFi on Solana, as the network is built for it.
Solana Is Strong
In conclusion, Solana is far from dead. The ecosystem is the more resilient community in crypto, and there's no stopping it. As the network becomes more stable, and while adoption continues to grow, Solana is poised to become a top L1 in no time.