July 24, 2024
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Blockchain News

Mysterious Solana Whale Wallets Move Over $60 Million in $SOL to Coinbase

A cluster of huge Solana whale wallets has transferred over $60 million worth of $SOL to the Nasdaq-listed cryptocurrency exchange Coinbase in a series of transactions that implies the monies were moved by a single individual.

A series of transactions involving Solana worth between $12 million and $12.5 million were made to the US-based cryptocurrency trading site within minutes of one another, according to data from whale tracking firm Whale Alert. These transfers of between 599,999 and 554,000 SOL to wallets under the control of the cryptocurrency Exchange were highlighted by Whale Alert. A single organization could have been responsible for all of the transactions, which totalled 2,954,427 SOL and about $70 million, and were finished in just two minutes.

The coin may perhaps be traded on the open market if it was moved to a crypto exchange. The transfers came after Solana’s price increased dramatically early this year as it recovered from the collapse of FTX and had developers continue to build on it; the costs associated with the trades were minimal.

Former developers from Qualcomm, Intel, and Dropbox built the blockchain network Solana, which uses the delegated Proof-of-Stake (dPoS) consensus method to achieve high speed. The network uses an innovative method of sorting transactions that significantly boosts its throughput and speed.

Blockchain networks have always struggled with scalability, and the ones that have succeeded have run into centralization problems. Yet the challenge of building a decentralized network with quick confirmation times and minimal transaction costs was overcome with the launch of Solana in 2017.

According to research by Coinbase Institutional, despite difficulties including network failures and market slumps, Solana is still a formidable rival in the layer-1 blockchain industry. The focus on native scalability, the distinctive timestamping feature, and Solana’s high throughput, with the capacity to execute up to 65,000 transactions per second, are highlighted in the paper. The cheap cost of Solana’s fees and its technological prowess are both mentioned as benefits.

According to the article, Solana’s technological advantages together with its offerings that can’t be used on other blockchains may allow it to reestablish itself as a legitimate layer-1 rival.