Blockchain Platform Solana Acquires $20M In A Funding Round Spearheaded By Multicoin Capital
Blockchain platform Solana has raised $20 million in a Series A round led by Multicoin Capital.
Cointelegraph reports that the round also saw participation from Distributed Global, Blocktower Capital, Foundation Capital, Blockchange VC, Slow Ventures, NEO Global Capital, Reciprocal Capital, Passport Capital, Rockaway Ventures, Kevin Rose, and Lyndon Rive.
According to Solana it is the world’s first web-scale blockchain that delivers layer 2 performance with layer 1 security and simplicity. It claims to achieve massive performance leaps through a set of coordinated optimizations that reach deep into how code compiles at the processor level.
Transactions are also processed in parallel by GPU hardware natively, which is a first for all blockchains. Solana is the only blockchain that’s multi-threaded. Anatoly Yakovenko, Solana’s co-founder and project lead explained more about the project:
“Other than Solana, all blockchains are single-threaded processors. That is, they can only make one state update at a time. This is the single greatest challenge holding back the industry today. By architecting a system designed from the ground up to support concurrent processing, and by optimizing computation for massively parallel GPUs, Solana can process 50,000 TPS across a network of 200 nodes—and it does so without creating any additional overhead in terms of UX, latency, or composability for developers.”
The funds will be allocated toward engineering and project management to help fuel growth as the Solana network launches its mainnet.
Yakovenko also explained that developers have been facing challenges with layer 2 and sharding solutions and the initiative aims at providing developers simple alternatives that do not sacrifice performance.
The Participating investors are calling Solana the first-ever web-scale blockchain, meaning it is the first solution capable of hosting applications with computational bandwidth akin to the modern Internet. In essence, the product could power decentralized versions of Nasdaq, Facebook and all other existing blockchains with room to spare.
Co-founder and Managing Partner of Multicoin Capital, Kyle Samani said that Solana is the closest thing to the world computer blockchain developers conceptualized in the early days of crypto.
According to Cointelegraph Samani added that Solana will allegedly scale on the base layer without sharding, explaining:
“While many developers have proposed sharding solutions for scaling existing layer 1 solutions, they introduce a tremendous amount of complexity and create new user experience problems that are difficult to solve.”
What’s your thoughts about Solana? Will it live to its promise? Let us know in the comments section.