After being a close second to the edge during market’s decline in FTX, Solana has skyrocketed in the charts. Its stake in the Solana (SOL) cryptocurrency and is now one of the top performing cryptocurrency of 2023, has earned more than 200% of profits over the year. Its performance is far superior to the performance of its rival, Ethereum.
Solana Soars to Become the 2nd Largest Crypto by Market Cap
In the market of staking crypto, Solana (SOL) is currently undergoing a dramatic change. It is now in the second position on the market in terms of capitalization. On October 24, 2023 the total value of the Solana protocol was 400.05 millions SOL tokens, which is equivalent to 12.72 billion SOL tokens.
It’s more interesting is the amount of money you earn by taking a stake in Solana. According to StakingRewards.com The network has given out over 905 million dollars in rewards in the past year, which results in an annual rate of +7.08 percent. While Ethereum’s staking program has yielded only the 3.47% return rate These results highlight the value of staking and make it a worthy area of studying more.
69% Surge in SOL Staking in the Last 24 Hours: Is Ethereum Losing Ground?
It’s important to remember that the +7.08 percentage staking rewards rate of SOL is being lowered due to inflation. The generous rewards that are distributed have led to increasing the tokens, affecting the cost of SOL that has experienced declines.
At the final count, despite the +7.08 reward rate of 7 the real reward adjusted rate, adjusted for inflation, is -0.29 percent. However, Ethereum staking, for instance, which has an +3.47% reward rate offers an actual adjusted reward rate of 3 percent.
Therefore Solana’s staking may have resulted in one of lowest real rewards rates in the market for cryptocurrencies with large caps. But, this isn’t an exact match to Ethereum or Solana. In essence, it’s the notion of staking which is winning.
In addition, inflation hasn’t decreased the interest in SOL stakes. According to the most recent statistics, SOL staking has witnessed an increase of 69% within the last 24 hours. In addition more than 70 percent of the cryptocurrency’s market capitalization is staking over 772,980 cryptocurrency wallets.
It is hoped that France’s efforts to regulate DeFi and the rumors regarding Solana the network’s secret centralization of operations won’t hinder the progress made thus far.