As a seasoned crypto investor with years of experience navigating the volatile and dynamic landscape of digital assets, I must admit that Solana’s latest challenges have piqued my curiosity, if not raised some concerns. Having witnessed the rise and fall of several promising projects, I can’t help but be intrigued by Solana’s potential but also cautious about its reliability.
It’s worth noting that the fast-paced public blockchain, Solana, has once more drawn attention due to recent evaluations. Previous issues concerning its reliability have been a topic of discussion for some time, and now experts are raising an additional point of contention.
Solana Facing New Transaction Processing Challenges
Speaking with X, a user reported that the system experiences unusually high transaction failure rates. This issue, as further explained by the analyst, often negatively affects user experience, diminishing the network’s advantages, which are primarily its low gas fees and impressive scalability.
Analyzing daily transaction data from Jupiter, a decentralized exchange (DEX) aggregator on Solana, reveals a concerning trend: about 35% of the total transactions successfully complete, while approximately 65% fail to process. In simpler terms, more than two out of three transactions do not get processed within the 24-hour period.
As a researcher delving into the recent data, I’ve uncovered some concerning trends over the past month. On certain days, the transaction failure rate has escalated alarmingly, surpassing 80%. This means that on those specific days, only about two out of every ten transactions posted on Solana are successfully confirmed.
Despite Solana’s proponents emphasizing its rapid transaction processing speed, surpassing both Ethereum and Bitcoin, the relatively low transaction success rate might still persist. This statistical analysis suggests that this metric could be deceptive, as it takes into account not just successful transactions, but also those that have failed.
Based on my own observations and experiences with various blockchain platforms, I believe that the perceived higher TPS (Transactions Per Second) of Solana is misleading and only serves to artificially boost its on-chain performance. This is due to Solana’s practice of counting failed transactions as successes, which gives a distorted picture of the platform’s true capabilities.
When transactions don’t get processed, it leads to a negative user experience as users end up paying fees for each unsuccessful transaction. Essentially, this implies that Solana charges its users for utilizing the network.
Will Interested Financial Institutions Like Visa Back Off?
Due to an influx of bots, Solana’s network becomes congested with numerous low-cost transactions, leading to a significant increase in transaction failures for ordinary users. These users often struggle because they haven’t adjusted their gas fees appropriately by paying higher amounts.
The analyst commented that Solana’s frequent transaction failures could potentially cause significant banks, such as Visa, to reconsider their plans. If they decide to integrate with Solana, users who are used to traditional payment systems’ dependability and fast processing speeds might be reluctant to embrace the technology.
Despite a seemingly high demand suggested by its frequent failures, Solana encounters numerous issues. Lately, the Solana Foundation has expelled more than 30 validators from their incentive program, alleging that they facilitated the operation of Miner Extractable Value (MEV) bots.
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2024-08-09 10:12