Solana Research Hub | SOL information, history and analysis
Solana is a blockchain platform that supports high-performance decentralized applications and smart contracts. The Solana platform is designed to facilitate the creation of decentralized applications (DApps) to make decentralized finance accessible on a larger scale. Solana improves scalability by using the Proof of History consensus method, combined with the underlying blockchain’s Proof of Stake consensus method.
SOL is a token that operates on the Solana blockchain platform. The SOL token has the typical uses of a platform token such as:
- Stake: Solana is in the process of activating inflation rewards for staking SOL tokens in exchange for energy and network support.
- Fee Payment: SOL is used to pay fees in Solana’s blockchain network, such as transaction fees, smart contract fees, etc.
- Compensation: SOL is used as a reward for Stakers/Nodes to ensure the stable operation of the network.
- Governance: SOL token holders will have voting rights and platform governance rights.
In March 2025, Solana’s price has fallen by 36% to 120 USD, making it the worst-performing top asset. Although there is a slight technical uptick, overall market negativity hinders potential recovery efforts.
Large sell-offs and decreased trading activity have contributed to downward pressure on SOL’s price. Additionally, negative market sentiment stemming from a failed advertising campaign adds to the uncertainty around Solana’s recovery.
The cryptocurrency market is on a downward trend, while gold prices have hit an all-time high. Bitcoin (BTC) dominance increased due to significant inflows into U.S. BTC ETFs.
In the past month alone, long-term holders accumulated 167,000 BTC, mirroring patterns seen in previous market cycles, potentially pointing towards a bear market lasting 6 to 12 months.
Standard Chartered strongly predicts BTC could rise to 500,000 USD driven by macroeconomic trends, and further, Ethena plans to launch a new blockchain collaboration with Securitize.
On March 17, 2025, Sol Strategies completed the acquisition of Laine and Stakewiz.com, aiming to solidify its position in the Solana ecosystem. Michael Hubbard was appointed Chief Strategy Officer to lead strategic initiatives, further enhancing the company’s operational capacity.
As of March 15, 2025, Sol Strategies’ staked SOL reached 3,351,617 SOL, reflecting a significant increase. The acquisition terms included $3.5 million in cash and shares, showcasing a strategic investment directed towards strengthening their validator infrastructure.
Justin Sun, founder of TRON, announced plans to integrate TRX with Solana, aiming for cross-chain compatibility. TRX is currently valued at 0.22 USD, having risen 5% in the last 24 hours.
The integration could facilitate direct swaps between TRX and SOL, potentially reducing transaction costs and eliminating intermediaries, aligning with Sun’s objectives for zero-fee stablecoin transactions.
Solana deleted its advertisement after receiving significant criticism on social media, particularly for its problematic political messaging related to gender diversity. Critics described the ad as “toxic” and “divisive,” prompting widespread discontent from community leaders.
The now-deleted video featured a line that ignited controversy, where a young man expressed a desire to create technology rather than focus on gender issues. This incident raised questions about Solana’s alignment with the core values of inclusivity in the cryptocurrency space.
Following the backlash, Solana’s market value suffered, with its price dropping to 118 USD, indicating broader market concerns. Many industry leaders expressed disappointment, suggesting that the ad contradicted the crypto community’s foundational principles.
Analysts forecast Bitcoin **BTC** could reach 180,000 USD by late 2025 despite recession threats. Tezos co-founder Arthur Breitman points out that crypto’s circular economy increases these risks.
More than 40% of market participants now foresee a recession in the US this year. Moreover, recent memecoin activities are affecting the liquidity of established cryptocurrencies like Solana, raising broader market concerns.
FalconX successfully completed the first-ever block trade of CME Group’s Solana futures on March 16, 2025, with StoneX as the counterparty, a day before the official launch.
The introduction of Solana futures is seen as a key step towards potential SEC approval for Solana ETFs, with various asset management firms, including Franklin Templeton, filing applications.
FalconX reported significant trading volume in the crypto derivatives market, executing over 1.5 trillion USD across various tokens, bolstering its role as a liquidity provider.
Bitcoin ETFs have struggled significantly, nearly erasing their net inflows by March 2025. Positive inflows were recorded for only five days in February, highlighting ongoing investor sentiment issues.
Concerns over Bitcoin ETFs reflect broader market volatility. An increase in Bitcoin’s price failed to mask persistent outflows, with cumulative losses raising red flags among investors.
Asset managers are now shifting focus toward potential altcoin ETFs, including those for Litecoin, XRP, Solana, and Dogecoin, aiming to diversify and boost investor confidence in the crypto market.
Solana leads the blockchain market with more than 4 million daily active addresses and 86 million transactions. However, despite this high utilization, SOL’s value hasn’t seen a corresponding increase.
The anticipated GENIUS Act may enhance the stablecoin supply significantly, benefiting Solana. Additionally, the cup-and-handle pattern in technical analysis suggests that SOL could rise to 135-140 USD if it successfully breaks resistance.