The Solana blockchain has faced a lot of pressure and hates from the cryptocurrency communities ever since the FTX exchange went down.
Its (once) strong ties with the FTX Company and its former CEO, Sam Bankman-Fried have earned the blockchain a lot of disrespect in the crypto market.
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Just like the FTX brand and its former CEO, none is trusting the Solana blockchain when it comes to the safety and protection of their funds and information.
It is the very reason why many protocols that had been running and thriving on the particular network have started to feel the pressure.
No matter how advanced and advantageous services they may provide, the situation is not going in their favor. It is not because they are lacking somewhere in providing services.
It is because of the Solana blockchain that the investors no longer trust. They are not willing to invest their money and time into the blockchain that was once linked with FTX.
They fear that the Solana network may end up going bankrupt or shut down just like the FTX brand. It may also have the funds of the investors stored on the FTX exchange that it may be hiding.
They are fearing that if what they feel comes true, then it will become very difficult for them to trust the crypto market at all.
Therefore, many investors have started to draw their distance from the Solana network. This in turn is causing a major setback for the projects that had been performing really well on the network prior to the FTX debacle.
DeGods and y00ts want to Move On
Due to the bad performance of the Solana blockchain since November, several projects on the network have been forced to make a difficult decision.
They are deciding whether they should stick with the Solana blockchain and wait out the difficult times or if they should not take any risks.
Not taking any risks would mean moving onto a different network so they can continue running their operations without losing the users.
For now, several projects are in the middle of deciding whether they should move on or not. However, two major projects from the Solana network have already made their decision.
The teams behind DeGods and y00ts have decided that they will move onto different networks given the current circumstances.
DeGods and y00ts both are projects based on the non-fungible token (NFT) industry. It is quite clear from the data from the past couple of months that the NFT sector has been growing very attractive.
Even when the entire market is down, the NFT sector is thriving and has managed to retain its older trading levels.
DeGods and y00ts are also among the projects that have been recording significant rises in their user following and revenues.
Therefore, they have decided to reduce the hit on their business and projects as much as possible. The most sensible decision they can make for now is to go with different networks.
The networks have already decided which networks they are going to move to. The officials at DeGods have announced that they prefer moving to Polygon (MATIC) while y00ts will move to Ethereum (ETH).
Both firms have announced that they will be moving to particular networks in the first half of 2023.
Questions have been Raised
With the latest announcements, it has become clear that Ethereum will remain the most demanded network for the digital art collections sector.
Similarly, Polygon is going to gain a lot of traction, which is already the Layer-2 solution of Ethereum. This is a win, win situation for the Ethereum blockchain.
It is arguably the most demanded network in the crypto market when it comes to NFTs and metaverse. However, questions are being raised about the Polygon network.
Many on the Solana blockchain have claimed that the Polygon network has promised incentives and rewards to the projects to move on their protocols.
DeGods is among the projects that have been convinced by the Polygon network to shift to their platform and earn incentives/rewards.