Introducing Solana – Web-Scale Blockchain For Fast, Secure, Scalable Decentralized Applications And Marketplaces

Project Summary

  1. Lightning-fast blockchain without sharding (Figure 1)
  2. Proven top-performance blockchain with eight-core innovations 
  3. Trusted by crypto giants and enterprises like Chainlink, Terra, and KIN Foundation
  4. Backed by a world-class network of investors and validators
Introducing Solana - Web-Scale Blockchain For Fast, Secure, Scalable Decentralized Applications And Marketplaces
Figure 1: Solana’s transaction speed in comparison with top Internet firms and blockchain projects

At the time of writing, SOL token specifications are as following:

  • Current market cap (MC): $96.5M
  • Circulating supply (CS): 33.6M SOL
  • Total supply (TS): 488.6M SOL
  • Token distribution as illustrated in Figure 2 
Introducing Solana - Web-Scale Blockchain For Fast, Secure, Scalable Decentralized Applications And Marketplaces
Figure 2: SOL token distribution

Team

Key founding members:

  • Anatoly Yakovenko, Co-founder and CEO, is the creator of Solana. He led the development of operating systems at Qualcomm, distributed systems at Mesosphere, and compression at Dropbox. He also holds five patents for Solana (1), Dropbox (1), and Qualcomm (3).
  • Raj Gokal, Co-founder and COO of Solana, is a veteran entrepreneur with 10+ years in product management and finance. Raj served as Director of Project Management at Omada Health. During that time, the company grew tenfold and completed a $48M Series C round.
  • Greg Fitzgerald is Co-founder and CTO of Solana. Greg spent 11 years at Qualcomm, where he contributed to the development of their LLVM toolchain and led the web and messaging infrastructure team.
  • Eric Williams (Ph.D.) is co-founder and Heads data science & token economics. The Berkeley alumni received his Ph.D. from Columbia while Higgs-hunting at CERN. He completed a postdoc at Memorial Sloan Kettering Cancer Center and led data science at Omada Health.
  • The team also has personals with managerial experience in cryptocurrency trading. This resource can effectively growth-hack relevant ecosystem projects like Serum.

Comparable Projects

Solana vs. Ethereum

Similarities: Both Ethereum and Solana are public blockchains with similar native token economics.
Differences:

  • Solana is better performant with higher TPS and lower transaction fee
  • Solana is built mainly on RUST, the second-fastest-growing programming language, while also supporting migration with the Solana compiler
  • Solana can scale without sharding, while Ethereum 2.0 needs it
  • Solana will launch POS mainnet (Q3/2020) sooner than Ethereum 2.0 (expected 2021).
Ethereum still has more considerable development resources with nine different teams working on ETH 2.0, shown by higher GitHub commit activity (25.7k vs. 9.6k of Solana).
Ethereum’s market cap is around $42B, according to CoinGecko, at the time of writing. If Solana reaches that market cap at full distribution, the price of SOL will get the $80 mark.

Solana vs. EOS

Similarities: 

  • Public blockchain, dPOS consensus algorithm
  • EOS has 0 transaction fee, while Solana’s fee is $0.00001 as an incentive for validators
  • Solana developers can easily migrate their applications from other major WASM chains like Dfinity, EOS, Polkadot, and Ethereum 2.0. EOSIO.EVM serves a similar purpose.
Differences:

  • Solana added POH to achieve breakthrough performance metrics
  • Solana has a higher number of validators (130+ vs. 21 on EOS)
  • Solana is a better performant (Higher TPS: 50k vs. 1k on EOS) 
  • Solana has a higher number of GitHub commit activity (9.6k vs. 5.5k of EOS).
EOS mainnet was already launched from 2018, with over 500 dApps as of Sep 06 (dApp Radar).
EOS’s market cap is around $2.6B, according to CoinGecko, at the time of writing. If Solana reaches that market cap at full distribution, the price of SOL will be $5.6.

Comparison Table

Figure 3 demonstrates the vital differences/advantages of Solana in comparison with Ethereum and EOS at the time of writing.

Introducing Solana - Web-Scale Blockchain For Fast, Secure, Scalable Decentralized Applications And Marketplaces
Figure 3: Solana in comparison with Ethereum and EOS

Upcoming News 

Development Progress

  • Mainnet

After running on Beta for six months, Solana’s official mainnet launch, scheduled in Q3 2020, is the most expected and most important event for the project since inception.

  • Integration of USDT

Most recently, Tether, the company behind the world’s most prominent stablecoins USDT, announced that Tether (USDT) would be the first stablecoin to launch on Solana. Solana is the eighth and latest blockchain that USDT supports as its partner recognizes for being “the fastest-growing blockchain for both market capitalization and use.” We expect USDT trading available on Solana as soon as the mainnet launches, releasing the billions of dollar daily volume beast from Ethereum’s slow and costly transactions cage.

  • Ecosystem build-up

Besides USDT, the team continues to focus on its key project, Serum, while supporting migration from existing partners (Stardust) and new applications/initiatives building on top of Solana blockchain.

  • Serum Project

Solana’s partnership with FTX in the Serum project has stunned the crypto world for its ultimate goal of building the world’s first completely decentralized derivatives exchange. Within a couple of weeks, the duo creators have launched Serum live to make an official debut to $34B 12-month volume market. Soon, we can expect Solana to contribute toward Serum’s ecosystem development by introducing more DeFi components into the platform, from yield farming to Swipe integration. Ultimately, the growth of the Serum project will push the expansion of Solana as its very first blockchain use case. 

SOL Token Release Schedule

Solana Foundation will unlock the majority of SOL tokens by Jan 7, 2021, pumping its circulating supply to approximately 457M SOL. The circulating supply includes a monthly unlock of 8M SOL for community growth initiatives (details in the monthly Transparency Report). We must closely watch this event and Solana team execution. The event causes a massive surge in unlocked token supply in such a short period (one month), from 14.8% to 93.6% of Total Initial Supply, as depicted in Figure 4.

Introducing Solana - Web-Scale Blockchain For Fast, Secure, Scalable Decentralized Applications And Marketplaces
Figure 4: SOL Token Release Schedule – Binance Research

Optimistic Reasoning

  • Sustainable ecosystem growth, having more and more business partnerships with industry giants (Chainlink – March 2020, Terra – April 2020,  Kin – June 2020, Serum – July 2020, and so on), is a driving force toward the Solana market cap surge (Figure 5).

    The more projects joining Solana’s ecosystem, the higher demand for SOL token since these projects have to build on top of the Solana blockchain. We can project SOL demand from observing what happened with Ethereum when ICO and DeFi trends boomed. Take the Serum project as an example. In case the project successfully achieves its targets, we can expect a skyrocketing amount of Solana on-chain transactions. Hence increasing transaction fee inflow is a healthy income source for the platform.
  • Solana, as a multi-round funded startup, has proven its progress and value, captured by world-class tech VCs like 500 Startups, Multicoin Capital, NGC Ventures, and primarily Foundation Capital and Slow Ventures (Crunchbase). The two prominent VCs have successfully grown and exited several deals in the technology industry, notably named Twitter, Uber, and Netflix. We can expect Solana to benefit a similar way from such a valuable network of investors. Milestone: raised 20M Series A in July 2019. 
  • Strong growth in the validator network when continuing partnering with top-notch staking services providers like BisonTrails, Certus.One, stake.fish, IRISnet, and many others. Solana team has successfully boosted its validator network, from 50 to 130+ in under six months. If the team can carry on this momentum, we project a larger amount of token to be staked by incoming validators, thereby an upward drive toward the token price.
Introducing Solana - Web-Scale Blockchain For Fast, Secure, Scalable Decentralized Applications And Marketplaces
Figure 5: Solana Ecosystem

Pessimistic Reasoning

  • The total unlocked supply will be around 457.4M SOL (93.6% of the total initial supply) by Jan 7, 2021 (Solana transparency report). If Solana’s team cannot facilitate a smooth token release/unlock schedule, there’ll be a sudden surplus of token supply. Such an event will cause immense downward pressure on the token price and, more likely, a price shock to bring SOL price back to equilibrium.
  • Chance of missing a crucial deadline of the mainnet launch since the team used to deliver a late release of Incentivized Testnet on Q3/2019.
  • Loss/Change in crucial personnel may cause delayed delivery of the roadmap, thus negative market sentiments.

Executive Summary – Pricing Estimates 

Comparable Milestones

  • If Solana reaches the EOS market cap of $2.75B, the price of SOL will be above $5.6 – 2x the current price.
  • If Solana reaches the Ethereum market cap of $39.4B, the price of SOL will be around $78.4 – 28x the current price.
  • Condition: full distribution of 488.6M SOL to the circulating supply, excluding the number of burnt tokens.

Past Round Valuation Milestones

Assuming that all investments are token sales (not equity), or Solana’s investors value SOL token entirely upon their funding amounts, we can estimate SOL market cap valuation from the last round as Figure 6.

Introducing Solana - Web-Scale Blockchain For Fast, Secure, Scalable Decentralized Applications And Marketplaces
Figure 6: Solana’s last round valuation milestones

At a market cap of $96.5M, SOL token is currently undervalued as compared with the valuation of the last four rounds.

Projection Milestones

Approach: Both SOL token price and SOL token circulating supply are variables.

Both SOL token price and SOL token circulating supply are subjects to change over time. Thus Figure 7 visualizes in three scenarios how the SOL market cap could be:

  • By Q4 2020, CS will be around 48.3M SOL; then SOL price can x1.5 (before mainnet)
  • By Q2 2021, CS will be around 459.9M SOL (94.1% of total supply), then SOL price can 2x
  • From 2023, CS will reach an initial supply cap at 488.6M SOL (assuming no burning), SOL price has chances to get higher milestones (Figure 7)
Introducing Solana - Web-Scale Blockchain For Fast, Secure, Scalable Decentralized Applications And Marketplaces
Figure 7: SOL Market Cap Projection

Kyros Ventures teams up with globally compliant decentralized capital market AllianceBlock

Kyros Ventures, the connecting portal to many of the largest Vietnamese crypto communities, shakes hands with AllianceBlock, the bridge between traditional and digital capital markets built with the Prometheus Protocol – the heart of the AllianceBlock Ecosystem. 

As Decentralized Finance (DeFi) has recently become one of the hottest crypto trends, more and more users are migrating their businesses to the blockchain ecosystem. This new trend has also increased the desire for a platform that conveniently consists of all DeFi application features. Thus, AllianceBlock’s ‘DeFi Ecosystem’ is a multi-sided platform blockchain-based ecosystem, in which all the transactions between users, investors, issuers, institutions, and others are being executed in a secure and regulated environment. The ecosystem is maintained by Institutional Nodes that are responsible for transaction broadcasting, voting, and service provision. 

AllianceBlock is the first globally compliant decentralized capital market and next generation of capital market infrastructure providers for financial institutions. AllianceBlock helps issuers simplify their issuance by registering ISIN digital security; provide investors with a service package including Digital Identity, Custody & Liquidity; and assist funds and institutional investors with a complete solution for Compliance Checks, Assessments & Rating and Tracking & Analytics for issuer offers. AllianceBlock’s solution is built on the principles of censorship resistance, transparency, and openness, with the Prometheus protocol aiming to realize a decentralized, collaborative and sustainable capital market that brings together issuers, investors, institutions, traders, experts, advisors, other service providers, and even talent.

The ALBT token is AllianceBlock’s native token, which fulfills multiple key functions within the protocol. ALBT token will be the main medium of exchange for services and assets on the platform. ALBT will be used throughout all services by users, institutions, and data such as means of reward, network fees, means of payment for access to data and data query, collateral in transactions, voting and delegating of voting power, staking, as well as network participant rating. In the future, users in the ecosystem will be eligible to use ETH or other coins, however, every transaction will require some involvement of ALBT token. 

The collaboration between Kyros and AllianceBlock will underpin and drive forth blockchain development efforts towards Vietnamese communities. Kyros will be introducing Alliance’s applications to the native community, helping Alliance build a positive reputation towards its services, along with providing marketing strategy and consultancy that best fits the native users’ investing habits. With this new partnership, Kyros & AllianceBlock’s common goal is to raise awareness of quality investment opportunities. We are both committed to working together to promote a healthy digital capital market through co-branded marketing activities that run within the Vietnamese market.

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About Kyros Ventures

Kyros Ventures is a conglomerate of four of the largest crypto communities in Vietnam: Coin98, Tradecoin Vietnam, HC Capital and Coin68, which collectively have more than 100,000 active traders. Kyros Ventures is the gateway for international cryptocurrency projects to enter into the Vietnamese market. We aim to help projects achieve greater awareness and adoption thanks to our extensive network of partners and communities.

For further information, please visit: https://kyros.ventures

About AllianceBlock

AllianceBlock is building the first globally compliant decentralized capital market. Incubated by three of Europe’s most prestigious incubators: Station F, L39, and Kickstart Innovation in Zurich, and led by a heavily experienced team of ex-JP Morgan, Barclays, BNP Paribas, Goldman Sachs investment bankers, and quants, AllianceBlock is on the path to disrupt the $100 trillion securities market with its state-of-the-art and globally compliant decentralized capital market.

For more information, please visit: https://www.allianceblock.io

Kyros Ventures to introduce FinNexus’ DeFi solutions to crypto trading communities in Vietnam

Kyros Ventures to introduce FinNexus’ DeFi solutions to crypto trading communities in Vietnam

Kyros Ventures, a conglomerate consisting of many of the largest Vietnamese crypto communities, announced their partnership with FinNexus today. FinNexus is building a decentralized protocol for options and offering DeFi options liquidity mining through its FNX token, providing Vietnamese crypto traders with another platform focusing on DeFi development and yield farming opportunities. 

The premier product for the FinNexus DeFi protocol stack is its Multi Asset Single Pool (MASP) DeFi options model. MASP is unique in today’s market allowing DeFi users a capital-efficient and gas-efficient means to hedge against BTC and ETH price risks by customizing their own options products. There is also a robust yield farming component to the FinNexus Protocol for Options (FPO). 

To power their ecosystem, FinNexus has issued its own native FNX token with a max supply of 500,000,000 FNX. At present, circulating supply is only 14 million; and according to their tokenomics, amazingly, 70% of the total supply will be allocated to the community as mining incentives and DAO reserves. FinNexus puts its community first through DeFi options liquidity mining, whereby users can participate in FNX token mining on UniSwap as well as its soon-to-be-launched peer-to-pool options liquidity pool for BTC, ETH and other underlying assets.

FinNexus is implementing an open finance protocol that can power hybrid marketplaces that trade both decentralized and traditional financial products. Wanchain, as one of the foremost projects in the industry, is FinNexus’ founding partner. But FinNexus’ protocols are more than just Wanchain. The coming FPO v1.0 will be launched on Ethereum and Wanchain at the same time. FinNexus has also partnered with many famous crypto projects such as Band Protocol, Elrond and Kardiachain in order to deploy DeFi dApps and provide wider access to DeFi products.

FinNexus is focusing on its options protocol these days. They created the first decentralized BTC options platform on Wanchain earlier this summer. Their long-term mission is to create decentralized and secure financial products, bridging the gap between traditional and decentralized worlds. To do this, FinNexus will employ the tokenization of assets and allow the transactions between fiat currencies and digital assets on its platform through a network of connected exchanges, OTCs, agents and asset management agencies. Other products developed by the FinNexus team include Wandora Box, a prediction platform which uses WAN as the predicting asset for a variety of underlying assets, and Jack’s Pot, a no-loss lottery also on Wanchain. In terms of its competitors, FinNexus’ business model most closely resembles that of Hegic. At Kyros Ventures, we believe that the company’s MASP DeFi options model provides a competitive edge.

The partnership between Kyros Ventures and FinNexus establishes Kyros Ventures as FinNexus’ gateway to the Vietnamese market. Kyros Ventures will handle all marketing and branding operations for FinNexus, establish a FNX trading community in Vietnam, promote FNX solutions on our channels and the local media, and support further collaborations and integrations between the FinNexus team and other Vietnamese crypto organizations as they explore this highly promising market with huge potential.

Through this new endeavor, crypto traders in Vietnam will be introduced to a new platform that is focused on evolving finance in a decentralized way, allowing them to keep up with the ever-growing DeFi trends in the crypto world.

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About Kyros Ventures

Kyros Ventures is a conglomerate of four of the largest crypto communities in Vietnam: Coin98, Tradecoin Vietnam, HC Capital and Coin68, which collectively have more than 100,000 active traders. Kyros Ventures is the gateway for international cryptocurrency projects to enter into the Vietnamese market. We aim to help projects achieve greater awareness and adoption thanks to our extensive network of partners and communities.

For further information, please visit: https://kyros.ventures

About FinNexus

FinNexus is an open finance hub connecting assets, users, blockchains and service providers together. FinNexus is building a suite of open finance protocol clusters that will power hybrid marketplaces trading both decentralized and traditional financial products. The headline DeFi product is a fully decentralized options model that is live on both Ethereum and Wanchain, with a Multi Asset Single Pool (MASP) liquidity solution. 

For further information, please visit: https://finnexus.io