The main feature of “digital money” is the lack of centralized management. For their functioning, blockchains are created, that is, distributed registries for storing and registering transactions. Bitcoin and Ethereum were among the first, so their blockchains are not without flaws. But the history of the creation of the Solana cryptocurrency shows that it was made taking into account the mistakes of its predecessors. Therefore, it shows maximum efficiency, as well as speed.

Prerequisites for creation

With the advent of distributed registries, the era of decentralized applications has begun. That is, programs that do not require a dedicated server. They have become popular in various fields. Dapps are used to create games, gambling platforms, financial projects.

However, their creation is hampered by the low speed of processing transactions within the blockchain. Especially if the size of the distributed network grows, that is, more and more blocks join it. For example, increased demand for the Ethereum blockchain leads to overload, miners do not have time to process all requests. As a result, the transaction time and commission increase.

The Solana cryptocurrency is created on a unique blockchain that uses a timestamp. Due to this, transactions within the system are performed almost instantly. Moreover, the ability to deploy smart contracts with complex functionality remains. Thanks to these features, Solana aroused the interest of many cryptocurrency investors, its rate quickly rose, and it took the 6th place in terms of capitalization in the world.

How did Solana come about?

This project was founded by Anatoly Yakovenko and several other specialists who previously worked for the well-known company Qualcomm. Anatoly, who had extensive experience with information compression algorithms, joined forces with colleagues and created a new blockchain that solves the problem of low network bandwidth.

Yakovenko discovered that thanks to the SHA-256 hash function of bitcoins, it is possible to make a decentralized clock that will attach a timestamp to the blocks of the chain. That is, it becomes possible to track the sequence of attaching elements and the time of the operation. This approach makes it possible to maintain a high speed of operations while scaling the system without compromising decentralization.

The cryptocurrency was named after the ocean beach in California, which is located near San Diego, the place of residence of Anatoly Yakovenko.

Such is the history of the creation of the Solana cryptocurrency. It is currently selling for $135.9 per coin and is also one of the most secure investments in the cryptocurrency market.