Solana-based DeFi projects are yielding millions of dollars. Despite its rapid growth of up to 122% in the past month, it has slightly decreased as it now settles on the top 10 blockchain networks by market cap. Mango Markets, a DEX on Solana blockchain, crossed the landmark of $70M+ token sales in just a matter of hours on Wednesday. Many investors have tried to pull over $500 million in USD coins (USDC, 0.05%) into the trading platform during the 24-hour-sale to get shares of 500 million MNGO tokens. But much of that drained away during the final hours, ending it up to around $70M total locked up. Mango is undoubtedly a leading trading hub for markets and lending that will stay for a long time. The system runs by pouring liquidity from its own pools or transferring from Serum – as Solana blockchain offers an exchange.
The DAO’s website states three main goals of MNGO:
(a) capitalize an insurance fund.
(b) distribute the DEX governance token.
(c) improve the liquidity system for market makers.
Mango is a decentralized, cross-margin crypto platform that offers trading up to 5x leverage on Serum DEX along with steady performance and near-zero fees. Buyers and sellers can stake or lend their tokens to earn interest. Thanks to Solana’s robust blockchain system that has made trading straightforward.
MNGO is one of the fast-growing cryptocurrencies launched to date on the Solana blockchain, it boosted more than 35% from last week’s massive sales record. Experts believe that it can give a tough time to its competitor Ethereum, but the time is yet to come, as there’s a huge gap between the two. However, Solana’s progress seems capable of hitting that point soon. The surge in transactions was observed after a bot activity sparked outages on Solana’s network for more than 17 hours. As per Forbes, in a statement, Solana said that the flood of transactions pressurized the system that the records were not stored, and the network’s engineer couldn’t be able to recover it. The core developers decided to upgrade and relaunch the network, restoring the blockchain functionality later next Wednesday morning.
Why so much growth?
One major reason that accelerated the Solana growth is that FTX – a popular crypto exchange – backs it up. Which already has launched multiple Solana-based projects. Moreover, Alameda research shows the same company is the biggest driving force (investor) behind Solana.Another logical reason can be its very low transaction fees, attracting more buyers to trade via it. The TVL (total value locked) metric locked into the Solana ecosystem has passed over $7.9B, making it the third-largest chain in terms of TVL value.With a supersonic growth rate of Solana, many experts assume that the network’s ability to execute its diversified set of projects secures its future success.
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