For the past four years, the Solana network has repeatedly faced major outages, including a 17-hour downtime in September 2021 and a validator failure in February 2024, which negatively impacted user trust and the long-term reliability assessment of the project.

Previously, investors filed a class action lawsuit against the decentralized exchange Meteora based on the Solana blockchain and the venture company Kelsier Labs, accusing them of fraud with M3M3 tokens, which caused traders to incur losses of $69 million.

The collapse of the Argentine meme coin LIBRA in February, which resulted in billions of dollars in losses for crypto investors, as well as a possible connection between the LIBRA collapse and the actions of the Jupiter and Meteora platforms, which allegedly contributed to liquidity manipulation of the meme coin, further fueled distrust in the Solana ecosystem.

One of the main problems for Solana, which could undermine the project's position, has been the high concentration of network governance. Currently, the top 10 largest validator pools control about 22% of the entire network's staking.