Solana Supporters Are Releasing More Than 31 Million SOL Tokens in The Middle of The Price Range
Solana supporters are releasing more than 31 million SOL tokens in the middle of the price range.
According to Solana Compass data from the blockchain explorer Solana, the network saw more than 31.2 million SOL tokens (worth around $438 million in the current market) deactivated by validators that ensure blockchain security at the end of the 370 epoch.
Locked tokens come from around 250 accounts and represent 5.4% of the total SOL. By now, the number of unwritten marks at that time would have been high.
In an update, the Solana Foundation postponed plans to withdraw 28.5 million SOLs at that time. The removal was linked to the removal of “several Solana supporters” from cloud service provider Hetzner as part of a policy change.
This would have brought the total markup at the time to over 63 million SOL. However, the foundation says that it is not worried about the volume of the signal that is not used in time, as the network runs similar to before.
“The network is running such a level of destake before: Epoch 140 has seen more than 44 million unstaked SOLs and Epoch 72 has seen more than 30 million unstaked SOLs,” he wrote in a blog post.
Solana and Alameda Research
However, analysts have noted that the exodus of stakers is linked to price tanking and Solana’s connection to crypto trading firm Alameda Research. The company founded by Sam Bankman-Fried is known to hold SOL as one of its largest investments and may sell some of its holdings.
Sean Farrell, head of digital asset strategy at Fundstrat, said the number of staked SOL declines could indicate that investors are looking to sell all or part of their positions. “The decrease in SOL staked money may indicate that investors want to sell some or all of them. For these reasons, we believe it is wise to reduce exposure to Solana (SOL) for the time being a,” he wrote in a note to investors at Fundstrat. In the meantime, the blockchain network continues to struggle with stagnation and growing claims of centralization. SOL stock fell 54.9% last week. It is currently trading at around $14.33.
The FTX, FTT benchmark was caught in the same price crash, as the exchange said there was about $8 billion short in its liquidity, which made it unable to support its demand.