Both Solana and Luna are popular tokens and provide attractive investment opportunities. But should you invest in one or the other? Or should you invest in either of them at all? To answer this question, we’ll have to make a Solana vs Luna comparison and help you decide on the best course of action. Read on.
Solana Coin Review
Solana is a blockchain-based developer-oriented platform that allows developers to build decentralized applications that are scalable and user-friendly. It already covers thousands of projects related to DeFi, Web3, NTFs, and more.
Solana is also the name of the platform’s native token, which is also referred to as SOL.
The project had been in development since 2017 until it was officially launched in 2020. The coin didn’t take long to take off, and the price gradually started increasing, reaching its all-time high on November 6, 2021, with a single SOL costing $260.
There is no max supply limit for SOL, but the total supply has gone north of 511 million SOL, with 317 million in circulation.
So far, SOL has been trading well. Although it seems it reached its primetime in November 2021, it’s expected to continue being popular throughout 2022.
Luna Coin Review
Luna is the name of a coin that powers a project called Terra, a public protocol based on blockchain technology that aims to reinvent how we use money on the Internet. Namely, its main goal is to facilitate the creation of decentralized stablecoins, thus helping the thriving DeFi sphere and bringing it closer to the masses.
Luna was officially launched in 2019, and despite the small initial success, there was a long period throughout 2020 that seemed like nothing happened with the price. Things started changing in January and February 2021, when a sudden increase of investors was recorded, pumping Luna’s price to $103.33, which was reached on December 27, 2021. Therefore, it’s safe to say that LUNA will perform just as well in 2022.
Like SOL, it’s also in the top 10 coins based on market capitalization, and the total amount of circulation is more than 400 million LUNA as of February 2022.
Cross Analysis: Solana vs Luna
Solana and Luna are very similar cryptocurrencies in terms of popularity. SOL is currently ranked in eighth place while LUNA tails it in the tenth, so they are very close in terms of market cap as well. However, this may change in the future, as many other coins are stepping on their toes. A coin like LINK may soon become the new buzz, so make sure you stay informed. If you’re interested to learn more about LINK and places you can store it on, visit https://godex.io/blog/crypto-tips/8-best-chainlink-link-wallets-in-2021-godex-io.
Both cryptocurrencies recorded their respective all-time high prices near the end of 2021. However, both are still very popular among investors.
They are also similar in terms of functionality. For example, Solana can process more than 50,000 transactions in a second at record low fees and comes with several other innovations, including the Proof-of-History consensus, which allows for high scalability. Solana is already home to thousands of projects that give it further validity and attract investors.
On the other hand, Solana is fairly new, and anything can happen with it at this point, given that the mainnet has been officially launched relatively recently.
Terra solves plenty of issues with scalability and centralization. Now, centralization is the keyword here, given that Solana has been criticized for not being decentralized enough, so it’s safe to say Terra (and Luna, along with it) is better in this regard.
The downside of using Luna is that the fees are somewhat higher, as opposed to Solana’s record-low fees.
The two cryptocurrencies are so close that your best bet is to follow them closely and monitor for potential opportunities. One way to do that is by using calculators offered on exchanges to see the latest price changes between the two.
There are hundreds of new projects related to blockchain and cryptocurrencies, and both Terra (LUNA) and Solana (SOL) stand out from the pack. Both projects are very young and are currently doing very well, which resulted in many investors buying their respective cryptocurrencies.
From the current standpoint, both are good investment opportunities. But don’t forget that the world of cryptos is very volatile, so anything can happen in the future. Moreover, there are many similar projects, meaning the competition is stiff, so don’t forget to monitor them too to see the big picture and create your crypto trading strategy accordingly.
I am Campurro, one of the founders of MonetaVerde Coin.