Bitmain Founder-Backed Asset Manager to Delist Solana

The Solana ecosystem that was once heavily tied to Sam Bankman-Fried’s FTX has been badly wounded after the collapse. As debates accelerated over the prospects of Solana, its native token – SOL – has plummeted 96% from its all-time high of $260 in November last year.

Adding to its woes, crypto asset management company Matrixport is reportedly gearing up to delist Solana and Solana-U dual currency investment products on December 30th.

• Interestingly, Matrixport is founded by Jihan Hu, who happens to be the co-founder of Bitcoin mining hardware giant, Bitmain.
• According to the reports, the company now has intentions to roll out new SOL products in the near future.
• Despite facing significant competition from Ethereum Layer 2 solutions, Solana had managed to amass a fair share of activity on its network, basking on the premise of faster and low-cost transactions.
• However, the collapse of Sam Bankman-Fried’s crypto empire and Solana’s close ties with it dented market confidence. The consequences of growing skepticism in the community more than a month after the implosion have severely affected the Solana ecosystem.
• The development activity on the network also suffered significantly as a result.
• A few crypto projects have announced their departures from the Solana network, which also suffered multiple outages in the last year. DeGods and y00ts, two popular NFT projects on Solana, are switching to Ethereum and Polygon, respectively.
• According to data from CoinMarketCap, SOL was once a top 10 market cap asset, but it slid to the 17th position due to the excessive bearish sentiment around it and the subsequent FUD.