Solana’s co-founder Anatoly Yakovenko: “I don’t care about market capitalization”
Within the last twelve months, the crypto currency Solana (SOL) has made an incredible development. Not only has the Solana ecosystem achieved considerable growth, but the SOL course is also a source of joy among investors. A year ago, SOL was trading at around $ 2.10 – since then, the Solana price has actually fallen to as low as $ 1.09, before reaching its all-time high of $ 260 on November 6th.
During the Lisbon people Breakpoint 2021 – a three-day conference dedicated to the Solana ecosystem – said Solana co-founder Anatoly Yakovenko Cryptopotato on the Solana project and the future prospects of the potential “Ethereum killer”.
A very big issue in the cryptocurrency sector is interoperability. The question arises as to whether several Layer 1 solutions can exist side by side at all. Yakovenko has a clear answer on this. “You have to design spaces that are Pareto efficient. That means that when you compromise, you are sacrificing something else, ”says the Solana co-founder.
So far there are numerous Layer 2 solutions on the market to improve the scalability of a blockchain. The best example of this is the Lightning Network. With Lightning, Bitcoin can execute up to a million transactions per second – without it, it is an average of seven transactions per second.
Yakovenko is of the opinion that there will be no Layer 1 solution in the future that would take over all functionalities on the blockchain. In addition to interoperability, Layer 2 solutions will therefore continue to be important in the future.
Yakovenko does not seem to find it easy to answer this question either. Five years in the crypto market is a long time. After all, even the oldest cryptocurrency Bitcoin is barely 13 years old. In those 13 years, many cryptocurrencies have disappeared into nowhere after major announcements. Former top ten cryptocurrencies like Dash have been overtaken by numerous other cryptocurrencies today.
Solana achieves over 50,000 transactions per second with the proof-of-history process. Around 2,500 transactions per second (TPS) are already being used by the users of the network, as can be seen from the data from the Solana block explorer. Experts are certain that this is not the end of the story.
When asked if Solana can achieve a million transactions per second in five years, Yakovenko replied, “For me as an engineer, if it can’t be done in two weeks, there is a 50 percent chance that it will never happen. For this reason there are no roadmaps with us. We call this fire driven development. I estimate that in five years, hardware improvements will make things at least four times faster. I hope I can break the one gigabyte and over a million TPS line, but we’ll see. So there is a lot of time, but also a lot of work. “
With a market capitalization of around $ 65 billion, Solana is currently the fifth most valuable cryptocurrency on the market. At least in this regard, Yakovenko has a clear answer: “I don’t care. I just want to build something that people want to use. That is the most important thing, ”said Yakovenko about the possible value of the cryptocurrency SOL.
