While analysts debate whether Ethereum’s capitalization can overtake bitcoin, one of Ethereum’s competitors is building financial muscle. Project Solana, for example, is in the process of raising $450 million, a large infusion of funds even by the standards of classic startups. In 2019, the Solana project raised a much more modest amount for development – $20 million. The investment round was led by Multicoin Capital, and Blocktower Capital, Slow Ventures and Passport Capital were also among the round’s participants.
The Solana project is known as the basis for the functioning of the decentralized cryptocurrency exchange Serum, launched by the cryptocurrency exchange FTX. The Solana blockchain project intends to achieve high throughput of its distributed registry by applying a new consensus mechanism, Proof-of-History. Solana’s technological development is being understood by traders, and as a result, transaction turnover on Serum has reached a monthly value of $1.6 billion.
In addition to Serum, there are a number of projects based on Solana, including Pyth, which plans to move much of the data that Wall Street traders operate on blockchain. Meanwhile, Solаna, represented by the Solana Foundation, has launched a $20 million fund to support various blockchain-based projects in South Korea.
The project’s native digital asset, Solanа (SOL), has risen 8% in the past 24 hours. SOL was listed on the Coinbase Pro cryptocurrency exchange in May.