Solana: Is It a Poor Investment?

Justin Bons Criticizes Solana

In a lengthy Twitter post on Oct. 3, Justin Bons spoke on Solana. The founder and CIO of CyberCapital made some harsh words about the Solana community and its native coin (SOL). Justin also said that Solana was Deceptively Designed to Inflate Falsely.

The crypto expert said that “blatant fraud” was involved in creating SOL and described how fraudulent assertions about the cryptocurrency’s circulating quantity were made.

The Twitter thread slammed Solana and its operations, citing “regular downtime, failures, hacking, and scandals.” Bons had much to say about SOL’s total value locked (TVL) and flowing supply. According to the study, “the bulk of SOL TVL was phony” when “two devs claimed to be 10+ devs and counting the same TVL again and over,” accounting for “70% of SOL’s $10B TVL at its height.”

Solana Gave False Circulating Supply Figures

According to Bons, the team reported a flowing supply of 8.2 million SOL in April 2020, but more than 20 million SOL was. Bons also mentioned a third individual who discovered an unlocked SOL wallet with more than 13 million coins. The SOL team stated that they were lent to a market maker and would be burned after 30 days.

Bons gave a reference for every one of the facts he covered and additionally claimed that the project’s history indicates terrible conduct. These include false news on circulating supply and transactions, a “deceptive design to exaggerate consumption artificially,” and the SOL ecosystem’s “complicity in ‘faking’ peak TVL figures.”

What Does This Statement Mean For Solana?

Solana has had a series of network disruptions, which have generated headlines and called into question the network’s usefulness. Most recently, on Oct. 1, the network was down for more than three hours due to an incorrect block produced by a single validator. The solution to the problem also garnered attention, indicating that a centralized decision was reached.

The Solana network was also down on June 1 this year, when a transactions problem halted the chain, causing an outage for four hours. According to Bons, this was partly related to centralization concerns. Then, in January 2022, there was a network failure caused by arbitrage bot spam. Solana also faced quite a number of outages in late 2021, which did not bode well for Solana’s image. As a result, many bulls have abandoned Solana in favor of other assets. The charts have recorded slight drops in Solana prices since the system failures started showing up in the community.