Grayscale Investments has launched a new package for high-net-worth individuals and institutional investors that includes exposure to Solana.
The Grayscale Solana Trust becomes the 16th product in Grayscale’s product portfolio. A minimum investment of $25,000 is required, as well as a 2.5% annual fee.
The SOL coin was added to the Grayscale Digital Large Cap Fund in October 2021, prompting the introduction of this new product.
Solana’s low cost, fast transactions attract developers
Solana is a blockchain with smart contracts that was launched in 2017. As a blockchain consensus mechanism, it employs Proof-of-History.
Transactions occur at a far quicker rate than Ethereum, with 50,000 to 65,000 transactions per second compared to 15-30 for Ethereum.
It also outperforms Cardano, which has a transaction rate of 250 transactions per second. Transactions on Solana cost $0.00001 to $0.00025, compared to $15-$40 each transaction on Ethereum because of gas expenses.
Solana has over 500 decentralized apps and 1.2 million active users, according to Grayscale chief executive Michael Sonnenshein.
Sonnenshein said the low transaction fees have sparked developer interest in Solana. In late November, the network had $14.45 billion in applications and 1750 active developers.
Solana offers some interesting dApps, such as Audius, blockchain-based music streaming business with 5 million subscribers and an audio TOKEN.
Solana’s popularity is boosted by Bankman-Fried
Solana competes with Ethereum, Algorand, Cardano, and Polkadot for decentralized finance applications, NFT trading, and blockchain gaming.
Sam Bankman-Fried’s affirmations of Solana have increased its public profile. As per Coingecko, the Solana coin SOL has a market cap of $65B.
Solana, which started at $2 and currently sits at a little over $200, has also seen an enormous increase in 2021.
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