Solana survived its record year with no network downtime

Source Cryptopolitan

Solana’s network had its last period of stalled block production on February 6, 2024. Since then, the chain has had a year of record activity without incidents, the longest period in its history without the loss of consensus. 

Solana’s network has not suffered a problem with its consensus for a period of 12 months, a record in its history. The chain repaired its consensus mechanism between validators, allowing block production to continue even during a year of record transactions and inflows of new users. 

Solana survived a record 12 months with no outages.
Solana survived a record 12 months with no outages. | Source: Solana Status

Most of the Solana outages occurred in 2022, where, at one point, they were a monthly event. During those times, SOL had a period of increased volatility. After the April 30, 2022 outage, the network stalled just as SOL erased value from around $100 down to the $50 range in just two weeks. 

One of the Solana outages preceded a 50% price loss in 2022.
One of the Solana outages preceded a 50% price loss in 2022. | Source: Coingecko

Since then, Solana boosted its consensus mechanism and included more Firedancer nodes with a higher transaction capacity. As of January 19, one of the busiest days for Solana, the network had 18 Firedancer validators, potentially increasing the chain’s transaction capacity. The inclusion of the new Firedancer client helped the network avoid delays or network outages, with more nodes expected to upgrade in 2025.

Solana incidents were even rare in 2023, with only one outage in February. As a whole, Solana had only two periods of zero bloc production in the past two years, all happening in February. 

SOL transactions fail despite the flawless node consensus

Consensus between validators and nodes is not all that is needed to make Solana a seamless experience for users. While blocks are being produced, end users often face failed transactions. 

The rush to buy Official Trump (TRUMP) led to a spike in daily active wallets, with over 5M users trying to transact, use DEXs, snipe tokens, and move SOL to their wallets. The rush to the Solana ecosystem also caused an overload for Phantom’s wallet services, crashing during the launch of Melania (MELANIA) tokens. 

The Solana ecosystem also depends on the inclusion of transactions into blocks, which is the main task of the Jito validator and block builder. Even with block consensus, those bottleneck points still exist for Solana and may limit users’ options during times of peak demand. 

Even without a block production outage, Phantom wallet users have reported rising average ping times and failed transactions. Average ping time may give insights into a network’s true load and the potential for failed transactions. 

Solana transactions still have a 30% failure rate, though traders were ready to pay higher priority fees and bribes on January 19 to trade Official Trump (TRUMP).
Solana transactions still have a 30% failure rate, though traders were ready to pay higher priority fees and bribes on January 19 to trade Official Trump (TRUMP). | Source: Dune Analytics

The other potential for delays may be the availability of SOL on centralized exchanges. Coinbase reported delayed sends for SOL, with users suspicious of a potential lack of reserves. Most new buyers of meme tokens attempted to acquire SOL from Coinbase, as the activity originated from the US market. The sudden demand for the token, whether to pay fees or trade on DEXs, caused significant delays in handling deposits and withdrawals.

As of February 6, Coinbase had resolved its issue with delayed SOL sends, and ping times had returned to normal. 

Previously, reports have surfaced of transactions taking over 6-9 hours, possibly due to low SOL reserves or other technical issues. In the dynamic trading of meme tokens, the withdrawal delays have prevented traders from entering the market on time. 

The network still has over 30% failed transactions

Both during periods of high activity and regular days, Solana still has a high share of failed transactions. For DEX traders, priority fees and bribes are key to ensure block inclusion, leading to record fee generation for JitoSOL. 

On January 19, Solana actually had a record of successful transactions, rising up to 79% as traders took care to see their swaps succeed. The day of the TRUMP launch was the most successful for the network. 

In the past, up to 70% of Solana transactions failed. Since then, users’ behaviors changed, based on new services. Jupiter’s aggregator and improved routing also boost DEX usage with fewer delays. 

Centralized exchanges remain an issue for SOL users, as they can even block withdrawals during days of outsized demand. For now, however, the ecosystem remains robust, with no outages of DEX or apps.

Cryptopolitan Academy: Are You Making These Web3 Resume Mistakes? - Find Out Here

Disclaimer: For information purposes only. Past performance is not indicative of future results.
placeholder
Goldman Sachs: Structurally Bullish on Gold to $5,400, But Warns of Short-Term PullbackGoldman Sachs ( GS) 's latest precious metals research report on gold ( XAUUSD) price trends presents a "structurally bullish, tactically cautious" dual outlook, maintaining its year-end
Author  TradingKey
9 hours ago
Goldman Sachs ( GS) 's latest precious metals research report on gold ( XAUUSD) price trends presents a "structurally bullish, tactically cautious" dual outlook, maintaining its year-end
placeholder
UAE Announces Exit From OPEC. Wall Street Warns: Medium-Term Oil Prices Face Downside RisksThe United Arab Emirates (UAE) has officially announced that it will formally withdraw from the Organization of the Petroleum Exporting Countries (OPEC) and the OPEC+ alliance on May 1.Bl
Author  TradingKey
12 hours ago
The United Arab Emirates (UAE) has officially announced that it will formally withdraw from the Organization of the Petroleum Exporting Countries (OPEC) and the OPEC+ alliance on May 1.Bl
placeholder
Gold holds steady near $4,600 as Fed rate decision loomsGold price (XAU/USD) holds steady near $4,600 during the early Asian session on Wednesday. The precious metal steadies as traders await a key Federal Reserve (Fed) interest rate decision later on Wednesday. 
Author  FXStreet
17 hours ago
Gold price (XAU/USD) holds steady near $4,600 during the early Asian session on Wednesday. The precious metal steadies as traders await a key Federal Reserve (Fed) interest rate decision later on Wednesday. 
placeholder
Fed FOMC Meeting Is Approaching: Where Is the Focus? Will There Be More Rate Cuts This Year?Global financial markets are set for a "Super Central Bank Week" this week, as five major central banks, including the Federal Reserve, the European Central Bank, and the Bank of Japan, a
Author  TradingKey
Yesterday 06: 22
Global financial markets are set for a "Super Central Bank Week" this week, as five major central banks, including the Federal Reserve, the European Central Bank, and the Bank of Japan, a
placeholder
Japanese Yen extends the range play against USD; looks to BoJ for fresh impetusThe USD/JPY pair is seen consolidating in a narrow band around mid-159.00s during the Asian session on Tuesday as traders opt to wait for the crucial Bank of Japan (BoJ) before placing fresh directional bets.
Author  FXStreet
Yesterday 01: 17
The USD/JPY pair is seen consolidating in a narrow band around mid-159.00s during the Asian session on Tuesday as traders opt to wait for the crucial Bank of Japan (BoJ) before placing fresh directional bets.
goTop
quote