Solana (SOL) — an ultra-fast blockchain network
When Solana started its journey in 2020, it immediately established itself as a network focused on scalability without compromising decentralization. Founder Anatoly Yakovenko, a former Qualcomm engineer, introduced something fundamentally new into the blockchain architecture — Proof of History (PoH). This is a timing method that allows network nodes to 'trust time', and thus process transactions and blocks in strict sequence without constant checks and waits. In practice, this provides impressive throughput — tens of thousands of transactions per second.
Tokenomics of SOL: balancing inflation and incentives
Solana does not have a limited supply like Bitcoin. Instead, it operates on an inflationary model that started at 8% per year and gradually decreases to 1.5%. This is necessary for sustainable rewards for validators and to maintain network security.
But more interesting is the burning mechanism. All transaction fees are partially destroyed (burned), creating a deflationary element. Staking SOL is also available — coin holders can delegate it to validators and earn income.
Interesting fact: the network has fallen... often
Solana is remembered not only for its speed but also for its instability. In 2021-2022, the network experienced numerous outages, sometimes for hours. Reasons: overload, vulnerabilities, spam attacks. This undermined trust, but the team worked hard to improve the protocol. In 2023, stability has significantly increased.
Solana remains one of the most ambitious and technologically advanced networks, striving to offer Web3 applications performance comparable to Web2. And although its path is thorny, the ecosystem continues to actively develop.
