SOL token reaches $ 100
SOL, Solana’s native token, recorded a new high above $ 100. The Solana project entered the top 8 of the largest cryptocurrencies with a capitalization of around $ 29.3 billion.
According to CoinMarketCap, SOL is trading at $ 101 at the time of publication. This means that its price has increased 9.4% in the last 24 hours.
How can we explain this increase from a fundamental point of view? The increase could be explained in part by the revelation of an event dubbed “Ignition” through the publication of a video that features a flaming purple light. However, this mysterious news could not be associated with a burn (or burn in French).
The Solana protocol burns part of the transaction fees it collects in order to limit the offer of SOL. However, Solana also creates new tokens based on a “deflationary calendar”. If Ignition is a token burning event, it shouldn’t deserve a dedicated page on the official Solana website. Indeed, the previous destruction of tokens had not had this type of communication.
In addition, the Ignition teaser is accompanied by a caption which reads: “The sky is the limit, What will you throw? With a period from August 31 to October 8 highlighting that it could be more of an event for developers of decentralized applications (dApps) or creators of non-fungible tokens (NFTs), and less of an Token burning episode.
Interest in NFT projects on Solana
The spectacular rise in SOL also follows the success of several non-fungible token (NFT) projects created on the Solana network such as Bold Badgers or Degenerate Ape Academy. At the launch of the latter, a collection of 10,000 unique images of monkeys was sold in just 8 minutes, the total volume even reached nearly 96,000 SOL or about $ 6 million. The minimum price to acquire a degenerate monkey is a minimum of 56 SOL, or approximately $ 5,600.
The team behind Degenerate Ape Academy revealed that they had been overwhelmed with interest from the community:
“It was exponentially bigger than we thought. “
👉 To read on the same subject: The Solana ecosystem (SOL) integrates the price oracles of Chainlink
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About the author: Florent David
Engaged in the crypto ecosystem since 2017. I am particularly interested in decentralized finance (DeFi), Ethereum 2.0 and non-fungible tokens (NFT).
All articles by Florent David.