🧩 The Mystery of Solana: What Really Happened?
Solana’s rise and fall—and rise again—reads like a thriller in the crypto world. Let’s break it down:
🚀 Solana’s Meteoric Rise (2021)
Speed & Scalability: Solana delivered 50,000+ TPS with near-zero fees — faster than Ethereum.
Massive Ecosystem Growth: NFTs (like Degenerate Apes), DeFi apps, and meme coins exploded.
Hype & Funding: Backed by FTX, Alameda Research, Multicoin Capital, and VC giants.
$SOL Price Surge: From ~$2 to $260+ in 2021.
💥 The Fall (2022–2023): Why Solana Plummeted
🧨 1. FTX & Alameda Collapse
FTX and Alameda Research were massive holders of SOL — possibly up to 13%+ of total supply.
When FTX went bankrupt in November 2022, their liquidation of SOL reserves created a huge dumping pressure.
Solana's price dropped to as low as $8 — over 97% down from ATH.
❗ Alameda’s selling wasn’t just panic — it was court-ordered liquidation, flooding the market.
🐍 2. Network Outages & Reputation Damage
Solana suffered multiple outages in 2022–2023.
Critics labeled it the "centralized chain" with too much validator control.
Developers and users lost confidence temporarily.
🎭 3. “Who Owns the Most?” & Strategic Dumping
Before FTX collapsed, insiders like Alameda, early VCs, and even some ecosystem devs had massive bags of SOL
There’s strong speculation that “smart money” dumped to crash price, creating panic and rebuying low during the bloodbath.
Yes — it’s possible SOL was “rugged” by its own early insiders for price advantage.
🧬 Solana’s Rebirth (2024–2025)
💎 What Changed?
New independent ecosystem away from FTX shadow
Massive NFT & consumer app growth (Helium, Jupiter, Tensor, etc.)
Network stability improved drastically
Solana Mobile (Saga, Chapter 2) created a new on-chain app layer
Tokenomics shift: Supply stabilized, staking rewards optimized
🧾 Is Solana Now ETF-Ready?
✅ VanEck and Franklin Templeton have filed Solana Spot ETF proposals
These are major TradFi players, betting on Solana as a serious Ethereum competitor
ETF = no need to dump coins anymore — institutions hold SOL to earn from:
Staking
Token appreciation
Transaction fee rebates
Now, those who once dumped it may be building long-term yield-generating positions.
🤔 Could Solana Crash Again?
It’s unlikely in the same way:
FTX overhang is largely cleared
Insider token unlocks have mostly passed
ETF approval would support stable demand
SOL staking encourages long-term holding over dumping
BUT:
Solana is still heavily VC-backed and may remain volatile — especially if a whale decides to rotate funds.
✅ Summary: Then vs Now
Phase What Happened Who Controlled It Risk
2021–2022 Pump to $260Alameda, VCs, FTX Hidden selling
2022–2023 Crash to $8 Forced liquidation Extreme
2024–2025 Recovery to $140+ Broader holders, ETF filings ETF dilution, not dumps
🧠 Conclusion
Yes, Solana was likely strategically crashed by FTX/Alameda and insiders. But now, it's transitioning to an ETF-backed, institutionally-aligned asset with real use cases, especially in consumer crypto, NFTs, and payments.