Blockchain is an innovative technology that has the potential to bring a lot of improvements to the world. Lately, Ethereum has been seen as the best blockchain people could invent, but now, more innovative examples have been added to the list of improved digital ledgers. And Solana is one of them. Solana has had quite a fast evolution, becoming the number one competitor with Ethereum, which has taken blockchain's potential to new heights. However, it also had some shortcomings, which Solana knew how to take advantage of to steal the spotlight.

One improved advantage of Solana over Ethereum is that it offers cheaper and faster transactions. One of the reasons that helped Solana in this regard is that it used smart contracts. Bitcoin and Ethereum are popular blockchains, but unfortunately, they also have a major downside, represented by congestion problems. However, Solana discovered the right mix of technology that could finally solve this challenge forever, and because of this, Solana uses a special consensus mechanism that proves to make all operations run faster and more efficiently.

Solana also has a native token, SOL, that has an important role in the function of its blockchain, as it serves different purposes. Among the most important ones is offering fast transactions and the possibility of staking without paying exorbitant fees. However, Solana is still a cryptocurrency, so its value can fluctuate quite rapidly. This is why the Solana current price can be different from tomorrow's value. So, it is better that before investing in this cryptocurrency, you would keep a constant track to discover the best moment to invest in SOL.

In this article, we will discover what distinguishes Solana from the wide variety of other cryptocurrencies and blockchains. Keep reading to learn more.

What exactly is Solana?

Solana is a blockchain designed to function with smart contracts and leverage other innovations of this technology. Solana receives the nickname "Ethereum killer" because it has a greater speed and can process more transactions per second, around 50,000. Solana functions differently from the other blockchains because it has a unique consensus mechanism called Proof-of-History (PoW), which functions together with the most popular model used by the other blockchains, which is Proof-of-Stake (PoS). This is the reason why Solana can function more efficiently than different blockchains. And because it allows faster transactions that don't have that many fees, Solana has started to be perceived as an essential opponent to Ethereum, the platform known to have leveraged the fullest potential of blockchain.

What are the factors that make Solana stand out from the crowd?

Solana has been designed as an important blockchain that doesn't function with the help of bigger platforms like Ethereum and Bitcoin but on its own. Not only this, but Solana also wanted to improve the shortcomings of the other present blockchains. This is why Solana has managed to have a higher speed than the other blockchains, making this platform more secure than the other digital ledgers.

Solana's goal was to improve blockchain's scalability while keeping fees reduced without affecting congestion or speed. The main reason behind the creation of this project was to support decentralized apps and smart contracts so that it could add even more use cases to the game.

Compared with Ethereum, Solana can handle faster transactions, and it doesn't face the same challenges regarding the struggle to handle more transactions at the same time.

What is special about Solana's technology?

Solana has a unique technology based on Solana protocol and wants to process transactions more safely and quickly. One of the most important people from the Solana project was Greg Fitzgerald, who had the merit to improve how Solana functioned excellently. He has a background in software engineering, and with his great knowledge, he was able to contribute to making Solana a very scalable blockchain. Solana functions with a mix of consensus mechanisms, and thanks to this, it can handle many transactions without meeting delays on the way. This is why Solana is the perfect blockchain for various applications from numerous fields.

What are the use cases of SOL?

Besides being a critical blockchain, Solana is also an influential cryptocurrency that powers the platform and helps it thrive. This is why SOL has various use cases that improve the appeal of this digital coin even more. For example, Solana can be used to stake and protect the network while adding new blocks. For this effort, participants receive rewards in the form of SOL. In addition, they also have the right to have something to say regarding the direction in which the blockchain is heading.

Plus, SOL can be utilized for all the applications that happen on the blockchain. For instance, it helps smart contracts run as smoothly as possible. SOL can also be used for all the applications built on this blockchain, taking advantage of the services that exist on the app.

The bottom line

Solana has proved that it is never too late to emerge as a powerful blockchain with the potential to dethrone the other noticeable projects that have existed up to that moment. Solana can process faster transactions than Ethereum, and because of that, it has been nicknamed the "Ethereum killer." Suppose it continues to introduce the same innovations it has done so far. In that case, Solana has the potential to increase even more in the future and attract great potential from a larger audience.

Technology has improved in many ways, and blockchain is one of the most powerful examples that proves this fact. It can improve many operations worldwide and help businesses enhance their operations.

And Solana knows what to do to become a powerful blockchain. This is why it has leveraged the shortcomings of the other examples and did what it took to become the best in this field.