Solana and SOL Explained | 2 Minute Crypto

[Music] You don't know me and i don't know you Yet we can safely transact without a Permanent processor such as paypal this Is the game changer brought about by Bitcoin ethereum then took things one Step further by putting decentralized Apps on the table does this mean Centralized options are now obsolete Not quite mainly because decentralized Alternatives haven't exactly proven to Scale splendidly on chain for example Neither bitcoin nor ethereum can even Come close to 10 percent of visa's Transactions per second projects such as Solana attempt to tackle this issue by Making transactions faster and cheaper But how through consensus mechanism Breakthroughs bitcoin is an excellent Proof of work project and there is zero Desire to change that whereas ethereum Started out as a proof of work project But is transitioning to proof of stake Consensus in an attempt to become more Scalable Solana goes even further through a Combination of proof of stake and So-called proof of history proof of Stake is already quite well known but to Understand proof of history one must Start by acknowledging that in Decentralized systems you have nodes From all over the world with different Clocks communicating with one another

Rather than everything depending on a Centralized entity that is in undisputed Control so in essence proof of history Enables this hurdle to be overcome more Efficiently in terms of what solana can Do it offers pretty much everything from Storing and sending value to apps in the D5 sphere and nfts the cryptocurrency of Solana is saul which can be used for Staking as well as paying various smart Contract and transaction related fees And unlike bitcoin there is no maximum Supply but still the inflation rate is Set to decline by 15 each year until it Reaches 1.5 per annum value at which Point it is expected to stagnate [Music] [Music] You