What’s happening with Solana?
In the world of DeFi, the Solana blockchain is considered by its fans to be a potential ‘Ethereum killer’. This refers to the Ethereum blockchain’s dominance in decentralized finance (DeFi) and those competing blockchains, most of them much younger than Ethereum, that believe they can take down the giant.
In the past few months, things have looked very sunny for Solana (SOL), but now invstors’ gains are being wiped out in the current crypto market crash. As Owen Fernau writes: “The carnage has been widespread in this latest selloff. Yet no major DeFi name has tumbled as much as Solana, the would-be challenger to Ethereum.” The question people are asking is, why Solana?
Some believe that after SOL quintupled its price between August and November of 2021, there may be investors who thought its price had become too ‘frothy’, and sold their holdings. However, others point to the fact that over the weekend, the blockchain was criticized for reported DDoS (distributed denial of service) attacks. Justin Bons, a researcher and the founder of CyberCapital, an investment firm, tweeted, “The attack exploited fundamental design flaws which are considered features by SOL.” He also pointed out that it was possible to predict and attack “the next block producers inline,” indicating that the Solana blockchain was faulty. Anatoly Yakovenko, Solana Labs’ CEO and co-founder responded to Bons tweet, saying, “In summary this is straight up bs.” He added, “DDOS targeting a single leader will only delay that single leader even if the ddos perfectly marches with the poh schedule. A liveness ddos attack needs to cover 1/3+ weight of ALL the physical links in the network.”
This is not the first time Solana has been the victim of a DDoS attack. It experienced on in September 2021, when the network went down for 17 hours, but the platform said in a statement that no money was lost.
In better news for the blockchain, Justin Kan, the co-founder of Twitch, the social media gaming giant, is going ahead with building a marketplace for gaming NFTs on Solana.