Posted 1/3/2024, 7:21:39 PM
Solana Sees Spike in Activity and Value, But Long-Term Success Hinges on Sustainable Growth
- Solana has seen a huge surge in total value locked (TVL), attributed to the Jito airdrop and the launch of JITOSOL, a liquid staking token
- Jito is a Solana client aimed at efficiently extracting Maximum Extractable Value (MEV) and distributing it to stakers
- While TVL has spiked, relying solely on this metric has flaws, and usage/development growth is more indicative of success
- The rise in "airdrop farmers" and sybil attacks poses risks, but could also stress test Solana and attract new genuine users
- Experts see potential for Solana to complement or partially replace Ethereum in some use cases, but not likely to fully surpass Ethereum in the near future