Solana Users Count Falls to a 2 years Low; Has the Chain Being Deserted?
Solana's users are dropping, with challenges like FTX's bankruptcy and the U.S. SEC's decision affecting its growth. The SOL token price also fell recently.
Solana, a popular blockchain, is seeing fewer users. Recently, the daily active users dropped to their lowest since late 2020, reaching about 204,000 users.
This drop became sharper after the crypto exchange FTX went bankrupt last year. Also, the U.S. regulator, the Securities and Exchange Commission (SEC), labeled Solana's SOL token as a security. This means it's seen as something like stocks or bonds.
Experts say Solana's close ties with FTX and another firm, Alameda Research, hurt its reputation. "Being called a security by the SEC also affected SOL's price, leading to its removal from big trading places in the U.S.," said Rebecca Stevens from The Block Research.
Right now, SOL's price is about $20, falling 7% in a week. Solana is now tenth in a ranking of blockchains by the money they hold, with about $311 million.
