I know Bitcoin. Supply is defined by blocks every 10 minutes, supply is cut in half every 4 years and you can exchange your BTC for whatever you want, given that the counterpart agrees. Ive been in the space for +10 years, just saying I get this one coin but…

With Solana, I do not know much. Are SOL like bitcoin, to trade for goods and services? store of value? why would a SOL be worth 50 today and the same one 5000 a few years later?

tshnks

  • jawni@alien.topBEnglish
    1·
    1 year ago

    Supply is defined by blocks every 10 minutes, supply is cut in half every 4 years

    Solana is similar, but with different figures. New blocks every 400ms (.4 seconds). Inflation started at 8% and gets reduced by 15% every year and 10 years after launch(2030) it will hit 1.5% and stay there indefinitely.

    Are SOL like bitcoin, to trade for goods and services? store of value? why would a SOL be worth 50 today and the same one 5000 a few years later?

    Yes, Solana is a great network to use for payments because transaction fees are a fraction of a penny and transactions only take a fraction of a second. You can use SOL to pay for things but there is also native USDC on Solana which will likely be the most popular option for payments.

    Store of value? I think that’s kind of a nebulous term. I think the value of SOL will rise in the long term because many projects are choosing to build on Solana due to the performance it offers.