Sol is the native cryptocurrency of the Solana blockchain, a high-performance platform designed for fast, low-cost decentralized applications (dApps) and smart contracts. Solana is known for its unique Proof of History (PoH) mechanism combined with Proof of Stake (PoS), allowing it to process thousands of transactions per second, making it one of the fastest blockchains in the world. $SOL is used to pay for transaction fees, staking, and governance within the Solana ecosystem. Many investors and developers are attracted to Solana due to its scalability and growing ecosystem, though it also faces competition and occasional network stability issues.
