Solana: Network upticks present rare victory for SOL traders
Solana appears to have come out of the ashes of the second quarter this year. SOL took a major blow which is understandably in tandem with the larger crypto market. The network has, however, posted significant increases in several areas of the ecosystem.
The Solana ecosystem has posted a rare positive update from the second quarter of 2022. The network has continued to grow despite bearish headwinds throughout the quarter. A report ‘State of Solana Q2 2022’ by James Trautman on Messari revealed further details of the network.
A common saying describes the situation of Solana that great innovations usually occur in bear markets. And, the Solana ecosystem did just that by expanding the NFT markets, progressing towards EVM compatibility, and launching Solana Mobile.
Among many metrics, daily unique fee payers remain an interesting piece among Solana users. Despite a decline across other metrics, network usage by unique fee payers continued an upward trend.
Unique fee payers reached an all-time high (ATH) of 450,000 in May doubling the previous high of 280,000 in January 2022. The growth here is attributed to the growth in newly minted NFT marketplaces on Solana.
Source: Messari
Unlike the above factor, network usage dipped heavily on Solana in lieu of the market conditions.
The average number of daily transactions decreased by 17.6% while revenue decreased by 44.6% due to degraded network performance.
Nevertheless, a notable improvement was seen in Solana during Q2.
Solana was able to implement the early stages of the Mainnet Beta v1.10 Series towards the end of May. This launch contributed to increasing network stability afterward.
Source: Messari
Furthermore, there appears to be a correlation between volatility and daily revenue
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