Since mid-August, Solana’s SOL coin has been showing consecutive highs and sparking a lot of interest in the market. On September 9, the token was over US$ 200, and Google’s Trends tool, which shows the most searched terms (those that arouse the most interest), showed that the term “how to stake Solana” was among the most searched.
In August, SOL cryptocurrency was still the digital asset that was most valued, according to a survey conducted by QR Asset Management, which analyzed the top 40 currencies by market capitalization between July 31 and August 31, 2021, according to Estadão’s e-Investidor.
The reason for appreciation of the cryptocurrency and the increased interest stem from the search for alternatives to Ethereum. Solana is a faster and cheaper protocol than the project created by Vitalik Buterin.
If you’re also keeping an eye on the token appreciation trend, check out the tips for buying SOL coins and how to staking in Solana.
For starters, what is Solana?
The Solana protocol had a whitepaper published in February 2018, designed to improve the performance and scalability of blockchain applications. Its main network was launched in March 2020.
The open-source project focuses on solutions for decentralized finance (DeFi), merging the concepts of proof-of-history (PoH) and proof-of-stake (PoS) consensus. The hybrid model attracts both institutional investors and smaller users’ interest while holding the promise of low transaction costs.
How many SOL tokens are in circulation?
According to Solana Foundation, the total coins will be 489 million. Currently, about 260 million are in circulation.
The SOL token distribution was done as follows:
- 16.23% was distributed in an initial sale.
- 12.92% went to the foundation sale.
- 12.79% was distributed among team members.
- 10.46% was given to the Solana Foundation.
The remaining tokens were released for public and private sale, and some are yet to be released to the market.
Why does Solana appreciate so much?
As we’ve explained, first because of increased interest in DeFi solutions; secondly, because of lower transaction rates, in addition to the increased speed in operations. The network is capable of processing 50,000 transactions per second.
Where and how to buy Solana?
To purchase the SOL token, you must have an account on an exchange in which it is listed. Among them, Brazilian users can buy at FTX, Binance, OKex, NovaDax, among others.
How to do staking with Solana?
Staking is a way to generate passive income by validating transactions and maintaining the integrity of the blockchain. In addition, those who do staking have a stake in the development of the network and generate revenue from the protocols
In decentralized networks like Solana, anyone can become a validator. As more token holders choose to use their SOL coins, the network becomes safer. Thus, those who contribute to protecting the network also receive rewards for this.
You need to have some Solana tokens to start doing this, but it’s important to note that they cannot be stored on the Ethereum network. You can validate the tokens through an exchange such as Binance, one of the wallets such as Exodus or SolFlare, or by following Solana’s own tips in their guide.
For those who have a SolFlare wallet, simply set how much to apply in staking. Remember not to use the entire wallet balance, as you will need to pay transaction fees. When created, the staking account appears in the Your Staking Accounts tab.
After selecting the value, just press Delegate Now, click forward and enter your password to start validation.
In the mobile version, open the app, click on the icon in the upper right corner (which looks like a medal). Then choose Earn Staking Rewards and select the desired amount.
For the desktop option, open your Solana wallet in Exodus, go to the right-hand side, click on the three dots, and then on Advanced options. Next, go to the staking tab and select the desired value.
Binance users should open the finance tab in the top navigation bar and click on Binance Earn. Then, on the Coins tab, search for the SOL option, confirm the amount, and choose the period the tokens will be locked up. After confirmation, you can view the coins in the Wallet option in the navigation bar, going to Overview, and finally clicking on the Earn tab, which can be found in the sidebar.