The timing of the fiasco that happened a few days ago is really fascinating. Only a few days had passed since I published my article talking about the problems as well as the solutions in the Solana ecosystem. And there I was, reading about literally the very things I wrote about, except, it was a scandal rather than a deeper look into the project.
Now, this is understandable since up to the temporary shut down there was almost no big setbacks that Solana had and the mounting pressure of a rising price so early on in the projects life obviously made the story that much juicer for the platforms. To add to that, a complete shut down of a network that calls itself "decentralized", even if it was necessary, is not a good look.
Despite the massive negative backlash, more and more people are realizing what exactly all this is. Because it's not just a simple "Oh Solana is centralized, dump it" but rather it's a story of sudden growth, mass appeal and immaturity.
- Sudden Growth - January 1st, the price of Solana was 1.84, only 9 months later it shot to new ATH's of 211.63 making it a 115x it's starting price.
- Mass Appeal - Not only did a slew of new projects, funding and upgrades happen but the project itself was already appealing to both consumers and developers as a "better" ETH, at least on paper. The steady growth also added to that appeal.
- Immaturity - Despite all of this, the project was still in beta, with lots of stuff still not being ready or solved and many problems still persisting
What this shut down should tell us is that SOL, as of right now, is overvalued. It is a solid project that could one day be massive and compete with top crypto, but that time should not be right now cause it is too early on in the projects life span and there are many things that still need to be resolved before it can take it's place near the top.
I'm not gonna talk about the problems themselves as I covered them in my previous article but they might very much be deal breakers for a lot of people that might have wanted to invest in the project, especially right now when FOMO is running rampant.
Whether or not these problems can even be solved is also a very important thing to note, because we just don't know and we especially can't know when this change might happen, cause it might not happen ever. It all depends on the team behind Solana and the people helping them out. Whether or not you decide to believe in them and if the project is still in the running is up to you. I for one am still optimistic.
I sold most of my SOL near ATH and left only a fraction of it just so I was still invested, so I am in no way attempting to bring SOL down or shill you SOL either. I'm just stating what has been obvious for a while now if you did the research. If the chance shows itself I might buy back in, but that is also something that will be hard to pinpoint.
I hope this article was helpful, thanks for reading!