Blockchain users and crypto investors are keeping a close eye on layer-1 networks this year. Ethereum (CCC:ETH-USD) is starting to falter in its dominance over emerging markets like non-fungible tokens (NFTs), losing over 15% of its market share. Meanwhile, other networks like Avalanche (CCC:AVAX-USD) and Binance (CCC:BNB-USD) continue to grow and innovate. One network of particular interest right now is Solana (CCC:SOL-USD). The Solana crypto network is coming into the spotlight as its native tokens begin listing on Coinbase (NASDAQ:COIN); the listings are translating to big gains for SOL.
Solana is having a turbulent last few months. The network is posting bullish news as frequently as it is seeing network outages, leaving whiplashed investors polarized on the future outlook for SOL. These outages are undeniably a problem; the network claims itself to be one of the most scalable networks in the world, and yet it is constantly encountering issues moving users’ funds. On the flip side of the coin, it is undeniably proving its power as an alternative to Ethereum-based NFT investments; the network is largely behind Ethereum’s massive loss of market share in this area.
And while Solana developers work on reducing the frequency of outages, they continue to seek out ways to grow the network and its user base. One way they’re doing this is through the listing of Solana tokens on the Coinbase platform, beginning this week.
Solana Crypto Gets a Big Boost Amid SPL Token Listings on Coinbase
The Solana crypto network is comprised of a slew of dapps, many of which have their own native tokens. Like Ethereum and Binance, Solana has created its own token standard these currencies have to follow. This standard is the Solana Program Library (SPL). The SPL token standard ensures investors that a token meets certain criteria.
This week presents a big break for Solana as Coinbase begins to list SPL-compliant tokens on its trading platform. As the second-largest crypto exchange in the world, the listings will provide widespread exposure of the Solana network to Coinbase users.
The news is translating to immediate gains for the Solana crypto, SOL. SOL is gaining over 15% this morning, just a day after the first SPL tokens listed. Trading volume is also massively up; over $3.2 billion in SOL is trading hands. This stands in stark contrast to yesterday’s volume of just $1.8 billion.
On the date of publication, Brenden Rearick did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.