Skip to main content

Solana co-founder cites biggest threat to Ether

 

Solana (SOL), one of the biggest gainers of 2023, seems like losing its steam in the early trading days of 2024. However, Solana’s Co-founders came ahead to address a crucial question, Will Solana ever require Layer 2 solutions? He also suggested what could be a threat to Ethereum and SOL in the process ahead.

Solana to focus on Layer 2 now?

Anatoly Yakovenko, the Co-Founder of Solana Labs in post acknowledged that developers could create Layer 2s on Solana. He suggested the blockchain’s primary objective is to synchronize a global atomic state machine at speeds dictated by the laws of physics.

As per Yakovenko’s view, any Layer 2, side chain, or zero-knowledge proof validation may seem innovative but they function as external execution environments that lack atomic composition with the broader Layer 1 state. 

He highlighted Solana’s dedication to scaling Layer 1 directly, aiming to enhance the single virtual machine instance with potential hardware upgrades. The team is also focusing on eliminating the need for Layer 2 solutions.

Nakamotolisk, a crypto analyst, observed that Solana’s pursuit of a global atomic state machine might indicate a departure from decentralization. Drawing a parallel with traditional finance (tradfi) high-frequency trading firms, Nakamotolisk highlighted that entities synchronizing information at the speed of physics might raise concerns about centralization. 

This comparison raises questions about potential government censorship challenges faced by highly centralized high-frequency trading exchanges.

SOL co-founder suggests this

Meanwhile, Ethereum faces criticisms for its slow progress in implementing Layer 2 solutions. It is countering challenges like the absence of multisigs and a less-than-optimal user experience. Solana’s Co-Founder suggested that if his vision holds true, Ethereum’s biggest threat lies in the concentration of value in execution hotspots.

However, an X user offered a balanced perspective. He suggested the truth might lie somewhere in between. The user expressed excitement about exploring different degrees of “atomic composability” and anticipated advancements in the atomic composability of rollups sharing the same base layer.

As the crypto community debates Solana’s goals and Ethereum’s challenges with Layer 2 implementation SOL has recorded major fluctuations. After a rapid rise in late 2023, reaching a local top of $126, SOL has since seen varying price actions.

Solana is trading at an average price of $102.27, at the price. Meanwhile, its 24 hour trading volume is down by 40% to stand at $3.4 billion.


Source: news.todayq.com

Labels

Labels:

Comments

Post a Comment

Contact us

Name

Email *

Message *

Popular posts from this blog

Cryptocurrencies Adding to the Safety and Security in the UK Gambling Industry

These are exciting times for the UK gambling industry. The impact of internet technology is now being felt with online gambling now controlling the industry.  The adoption of cutting-edge technology is reasonable for the boom in the industry. From live casinos, mobile apps to artificial intelligence, incredible trends continue shaping the gambling industry. However, it is the rise of cryptocurrency casinos that seeks to redefine UK gambling.  Many operators now include crypto coins such as bitcoin, Ethereum and Litecoin as part of their banking methods. Others offer exclusive bitcoin payments and promotions based on digital tokens. This revolutionary trend has a huge impact due to enhanced safety and security on these platforms. Players looking for peace of mind when playing online now opt to use cryptocurrencies. This post looks at how cryptos guarantee the safety and security of players at online casinos. How Cryptocurrency Gambling Works There’s a lot of talk ab...
Post a Comment
Read more

Coinbase to Require Recipient Information for Crypto Transfers From Users in Canada, Singapore and Japan

  Customers in those countries who send crypto outside their Coinbase accounts must provide recipients’ names, addresses and in some cases, additional information, as of early April. Cryptocurrency exchange Coinbase Global (COIN) will soon require its customers in Canada, Japan and Singapore who send cryptocurrency to another financial institution or exchange to provide the name, address and in the case of Japan, the destination wallet of the recipient. Coinbase has been sending notices to its customers in those countries that the changes will take effect in early April in order to comply with local travel rules in those places. Coinbase didn't immediately respond to requests for additional comment on the moves, but confirmed that they were taking place. The move  does not seem to be going over well  with Coinbase customers in those countries, who value the anonymity of transactions using cryptocurrency. According to a  FAQ provided by Coinbase , for Canadian users, ...
Post a Comment
Read more

Quomodocunquize

                                       Definition:  " To make money in any way possible . ” Example:  Rather than quomodocunquizing,  invest your money wisely . Please, please, please use a hardware cold wallet like Ledger . It's  a  cold wallet ,  cold  =  not exposed  to  internet  =  only your hardware device . ...  Use Ledger  as  cold storage . Too many people spend money they earned..to buy things they don't want..to impress people that they don't like. --Will Rogers A wise person should have money in their head, but not in their heart. --Jonathan Swift Wealth consists not in having great possessions, but in having few wants. --Epictetus Money often costs too much. --Ralph Waldo Emerson Everyday is a bank account, and time is our currency. No one is rich, no one is poor, we've got 24 hours each. --Christopher...
Post a Comment
Read more