Solana’s impressive performance in DeFi and stablecoin flows is undeniable, with TVL reaching $8.6 billion in Q4 2024—a 486% YoY increase—and stablecoin supply surpassing $12.17 billion. Despite these metrics, co-founder Anatoly Yakovenko warns against overhyping short-term gains, stressing the need for stronger ecosystem retention and yield incentives. Analysts like Ali Martinez suggest SOL could surge to $387 if it maintains support above $193, but validator rewards remain modest at $35,000 annually, indicating room for staking improvements. Solana’s DEX dominance, fueled by retail activity, highlights its market position, but long-term success depends on converting high engagement into lasting growth.
about Solana's Growth: Beyond Hype to Sustainable DominanceAnatoly Yakovenko
0 posts last week
Co-Founder of Solana Labs, the team behind the Solana blockchain.
Galaxy Proposes MESA to Reform Solana Inflation Governance
Galaxy Research has proposed a new governance method, MESA, to address Solana’s inflation debate by allowing validators to vote on multiple deflation rates, with outcomes determined by a weighted average. The current fixed inflation curve targets a 1.5% terminal rate, but recent changes, like SIMD-96, have increased inflation by redirecting priority fees to validators. MESA aims to streamline consensus without repeated binary votes, offering validators nuanced choices while maintaining predictability. The proposal follows the rejection of SIMD-228, which sought dynamic inflation adjustments. Galaxy’s framework includes implementation questions, such as vote granularity and threshold requirements, to refine the process.
about Galaxy Proposes MESA to Reform Solana Inflation GovernanceSolana Co-Founder Advocates for State-Controlled Crypto Reserves Over Federal Control
Anatoly Yakovenko, co-founder of Solana, criticized the idea of a federally controlled cryptocurrency reserve, arguing it would undermine decentralization. He suggested that if reserves are necessary, they should be managed by states to mitigate potential federal errors. Yakovenko also clarified that he was not approached regarding the inclusion of SOL in the proposed U.S. reserve, which has faced scrutiny for including multiple cryptocurrencies beyond Bitcoin.
about Solana Co-Founder Advocates for State-Controlled Crypto Reserves Over Federal ControlCardano Founder Addresses Summit Absence Amid US Crypto Reserve Discussions
Charles Hoskinson, founder of Cardano, stated that his team did not receive an invitation to the upcoming White House Digital Assets Summit, despite circulating lists suggesting otherwise. He expressed skepticism about the summit’s potential for meaningful policy work.Meanwhile, Solana’s Anatoly Yakovenko raised concerns about the implications of a U.S. strategic crypto reserve on decentralization, as industry leaders prepare for discussions on regulatory changes in the digital currency ecosystem. The SEC has recently closed several lawsuits against major crypto firms, signaling a shift towards more favorable policies.
about Cardano Founder Addresses Summit Absence Amid US Crypto Reserve DiscussionsSolana Co-Founder Advocates Against US Crypto Reserve Control by Government
Solana co-founder Anatoly Yakovenko expressed a preference for no US crypto reserve, citing risks to decentralization if the government were involved. He suggested that states could manage their own reserves as a safeguard against federal errors and proposed measurable requirements for tokens in a national reserve, indicating that only Bitcoin might currently meet such standards. Yakovenko denied any involvement in pitching Solana for inclusion in the reserve, a sentiment echoed by Cardano’s Charles Hoskinson regarding ADA.
about Solana Co-Founder Advocates Against US Crypto Reserve Control by GovernmentSolana proposal aims to cut inflation by 80 amid decentralization concerns
The Solana community is set to vote on proposal SIMD-0228, which aims to reduce annual inflation by up to 80% through dynamic “smart emissions” based on staking participation. While some, including co-founder Anatoly Yakovenko, support the change for long-term sustainability, critics warn it may centralize the network by disadvantaging smaller validators. Concerns have been raised about potential declines in validator earnings, which could threaten decentralization and favor larger institutional players.
about Solana proposal aims to cut inflation by 80 amid decentralization concernsSolana Proposal Aims to Reduce Inflation by 80 Percent Through New Model
Solana’s community is considering a governance proposal, SIMD-0228, that could reduce inflation by up to 80% by adjusting token issuance based on staking activity. Currently, with 65% of tokens staked, the proposal aims to enhance economic sustainability while addressing concerns about excessive token emissions and potential impacts on smaller validators. Voting on this pivotal proposal is set for March 6, 2025, requiring a two-thirds majority to pass.
about Solana Proposal Aims to Reduce Inflation by 80 Percent Through New ModelSolana’s Path to Credibility Through ETF Approval and Payment Innovations
Solana is poised to transition from its “meme chain” reputation to a serious blockchain contender, especially with the anticipated approval of a Solana exchange-traded fund (ETF) by the SEC in 2025. This shift is expected to enhance institutional trust and position Solana as a leader in the $20 trillion payments industry, leveraging its existing infrastructure and user base. As traditional finance embraces digital assets, Solana’s capabilities in payments and remittances could finally be recognized, moving beyond the memecoin focus that has dominated its early years.
about Solana's Path to Credibility Through ETF Approval and Payment InnovationsSolana Weekly Trading Volumes Decline Amidst Overall DEX Activity Drop
On-chain weekly trading volumes have declined since mid-January, dropping from $173 billion to approximately $90 billion last week, with Solana experiencing the most significant losses. After peaking at over $97.5 billion in trading activity, Solana’s volumes fell sharply, losing nearly $40 billion in late January and continuing to struggle into February. Despite these setbacks, decentralized exchanges maintain a strong monthly trading volume, with a ratio of 16.7% compared to centralized platforms, still above last year’s peak of 13.9%.
about Solana Weekly Trading Volumes Decline Amidst Overall DEX Activity DropCrypto Leaders Debate Social Accountability to Combat Memecoin Scams
The crypto community is debating the effectiveness of social accountability to combat memecoin scams, with some advocating for ostracizing scammers while others, like Solana co-founder Anatoly Yakovenko, argue that social shaming is problematic and ineffective. High-profile political token scams have led to significant losses, intensifying concerns over market integrity and the need for stronger regulatory measures.
about Crypto Leaders Debate Social Accountability to Combat Memecoin Scams