Cyber Capital CIO Justin Bons claims that Solana (SOL), which was hit hard after the collapse of cryptocurrency exchange FTX, has no long-term value. Bons also argues that Solana, once seen as a competitor to the leading altcoin Ethereum, has lost its decentralization.
Justin Bons: Solana has no future and no value!
Justin Bons, the founder and CIO of Cyber Capital, shared on Twitter his latest criticism of the once-popular altcoin project Solana Blockchain. Bons argues that Solana’s blockchain will not achieve its purpose in the long run. While Solana agrees with the fact that Blockchain can be scalable, she claims it’s because it continues to make dangerous swaps against decentralization. In this context, Bons makes the following statement:
I don’t see a long-term point in Solana. It can now be scalable as it makes dangerous tradeoffs against decentralization. However, SOL will never truly be able to compete with shared blockchains. As these gain more scalability while maintaining decentralization, it will lose.
I do not see the point in Solana long-term
It might be scalable now due to it making dangerous trade-offs against decentralization
However, SOL will never be able to compete with truly sharded blockchains
As these achieve greater scalability while preserving decentralization
— Justin Bons (@Justin_Bons) March 10, 2023
Justin Bons believes Solana will never be able to compete with truly ‘shared’ blockchains, which provide greater scalability while maintaining decentralization. This isn’t the first time Bons has voiced his criticism of Solana Blockchain. As you follow on Kriptokoin.com, in October last year, days after Solana Blockchain recorded a six-hour outage, the Bons network was bombarded with criticism in a long thread of tweets.
Along with his criticism of the recent disruptions to Blockchain, Justin Bons also highlights that the Solana team is “unnecessarily centralizing the network.” Also, Bons claims that being a validator on Solana is expensive, as it requires $6 million to run a validator profitably. He talks about Solana’s Proof of History (PoH) consensus and suggests that he foregoes decentralization for scalability from Turbine, a block propagation protocol.
Altcoin price and developments
Helium, a decentralized network of devices called ‘hotspots’ that provides long-range connectivity for internet of things (IoT) devices, announced that it will move to Solana Blockchain on March 27. Meanwhile, NFT trading activity is growing in Solana. Solana-based NFT sales rose 36.50% last week to $20.36 million, according to data from Cryptoslam. Leading altcoin Ethereum-based NFT sales were down 2.37% in the same time frame.
SOL was trading at $17.99 at the time of this writing, up 2.16% in the last 24 hours. The altcoin lost 13.5% on a weekly basis.
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