Introduction

Solana is a high-performance blockchain platform designed to provide fast, scalable, and secure decentralized applications (dApps) and cryptocurrency transactions. Launched in 2017 by Solana Labs, it aims to address the scalability challenges faced by many existing blockchain networks, such as slow transaction speeds and high fees, by utilizing innovative technologies.

At its core, Solana employs a unique combination of novel consensus mechanisms, including a Proof-of-History (PoH) system, to enable rapid transaction processing. PoH creates a verifiable historical record of events, allowing Solana to achieve impressive throughput and low latency. The platform's architecture also includes a proof-of-stake (PoS) consensus mechanism, making it energy-efficient and environmentally friendly. With its focus on scalability, Solana has attracted developers and users alike, offering an ecosystem that supports a wide range of decentralized applications and projects. It provides developers with a flexible framework to build and deploy their dApps, enabling them to leverage the platform's high transaction speeds and low costs.

The US Securities and Exchange Commission (SEC) has filed a high-profile complaint against Binance, but it also has a number of altcoins such as Solana and Polygon in its sights. Many cryptocurrencies plummeted immediately after the SEC's enforcement action became known, but Solana was one of the hardest hit when the lawsuit was filed. The coin fell more than 6% to $20.14 within an hour, according to CoinGecko.

Methods

In this dashboard, we have analysed the following aspects:

• Transfers volume and average transfer size by period
• SOL transfers over time
• SOL volume distrbution by size over SEC moments
• Distribution of transactions by volume size over period
• Sol volume swapped distribution by platform
• Distribution of swaps by platform and period
• SOL vs BTC price before and after SEC
• SOL price before and after SEC

Based on the transfer volume and average size graphs, we can draw several important conclusions. Firstly, after the SEC, the volume of transfers has remained unchanged. However, there was a noticeable increase in volume for two days, which can be observed in the graph. Furthermore, the average transfer size has also experienced an upward trend during this period.

Moving on to the SOL transfers over time graph, we can see a significant change in values before and after the SEC. Prior to the SEC, the values were around 6 million, whereas after the SEC, the values hover around 4 million. This indicates a considerable decrease in transfer amounts following the implementation of the SEC regulations.

In the SOL volume distribution by size and period graph, we can observe notable trends before and after the SEC. Prior to the SEC, the prominent range was between 10-100 SOL, followed by transactions involving less than 10 SOL. After the SEC, these two ranges remained the most significant, but the 10-100 SOL range experienced an increase in volume. This indicates a shift towards larger-sized transactions within that range, potentially influenced by the regulatory changes. Moreover, in the distribution of transactions, the range of <10 SOL remained the dominant category both before and after the SEC.

Examining the SOL volume swapped distribution by platform, we note that before the SEC, the primary platform was Jupiter, accounting for 67% of the swaps. Post-SEC, Jupiter still holds the leading position, but it faces a closer competition from the Orca platform. The distribution of swaps by platform reinforces this observation, as Jupiter remains the main platform with nearly 100% of the swaps in both cases.

From these two graphs, it is evident that the distribution of swapped volumes in Solana is gradually shifting, with the Orca platform gaining more prominence and challenging the dominance of the Jupiter platform. Conversely, in the distribution of swaps, Jupiter appears to remain stable, accounting for almost 100% of the swaps conducted.

When analyzing the SOL v BTC price before and after the SEC, we observe a striking similarity in their trends. Both currencies demonstrate a relatively stable nature. For instance, when BTC experienced a decline in mid-June, Solana followed suit and exhibited a similar pattern of decrease.

Examining the SOL price specifically, we note that prior to the SEC, it was gradually increasing over time. However, following the SEC announcement, the price plummeted sharply, reaching a low of $15. Since then, it has remained relatively stable, showing limited fluctuations.

These findings suggest that both Solana and BTC share a degree of correlation in their price movements, displaying similar trends. Additionally, the impact of the SEC announcement on the SOL price is evident, as it experienced a significant drop immediately after the announcement and has since maintained a relatively stable value.

Key insights

• The volume transfers in Solana remained stable after the SEC, with a temporary increase observed for two days. The average transfer size also showed an upward trend during this period.
• Following the SEC implementation, there was a considerable decrease in the SOL transfers over time, with values dropping from around 6 million to approximately 4 million.
• The SOL volume distribution by size and period indicated that the 10-100 SOL range was prominent both before and after the SEC, with an increase in volume observed after the regulatory changes. The <10 SOL range remained significant throughout.
• Jupiter was the primary platform for SOL volume swapped before the SEC, accounting for 67%. Post-SEC, while Jupiter maintained its leading position, the Orca platform emerged as a closer competitor.
• The distribution of swaps by platform highlighted the stability of Jupiter as the main platform, with nearly 100% of the swaps occurring there.
• SOL and BTC displayed a similar trend in their price movements, indicating a degree of correlation between the two cryptocurrencies. When BTC experienced a decline, Solana also followed suit.
• The SOL price significantly dropped after the SEC announcement, reaching a low of $15, and has since maintained a relatively stable value.