Solana Latest News and Updates

2025-05-20, 08:41

On May 20, 2025, the Solana (SOL) ecosystem ushered in multiple key dynamics: from the revolutionary upgrade of the underlying consensus mechanism to regulatory agencies on Solana From the cautious attitude of ETF to the intertwining of Meme coins and security incidents, it demonstrates the technical vitality and market complexity of this high-throughput public chain.

Consensus Mechanism Revolution

The Alpenglow project, led by Anza, a spin-off of Solana Labs, was officially announced today, aiming to replace the existing TowerBFT consensus mechanism and Proof of History (PoH) system with the Votor and Rotor components. This transformation is seen as the most significant technical upgrade for Solana since its mainnet launch in 2020, with the goal of reducing block finality time from the current 12.8 seconds to 100-150 milliseconds and significantly improving network stability.

Votor Consensus Optimization: Through parallel voting mechanism, when the participation rate of staking nodes reaches 80%, blocks can be confirmed within a single round of voting; if the staking ratio is 60%, it will require two rounds of confirmation. This will increase transaction throughput to a theoretical peak of 10,000 TPS, while reducing the hardware threshold for validating nodes.
Rotor data transmission innovation: optimize the block propagation efficiency of the Turbine protocol, using single-layer relay nodes and erasure coding technology to reduce the “hops” of data transmission, enhancing network resilience under high load.

Solana founder Anatoly Yakovenko praised Alpenglow’s design as “simple and elegant,” and is expected to propel Solana to be on par with internet infrastructure as a blockchain foundation. Currently, the prototype of the protocol has entered the testing phase, with the mainnet upgrade expected to launch in the fourth quarter of 2025.

Regulatory Update: SEC Delays Solana ETF Decision, Putting Short-Term Pressure on the Market

The U.S. Securities and Exchange Commission (SEC) announced today that it is delaying a final decision on Solana spot ETF applications submitted by institutions such as 21Shares and VanEck, citing the need for further review of legal and policy issues. Although the SEC emphasizes that the delay does not indicate an approval or rejection tendency, the market still interprets this as a continuation of regulatory caution. As a result of this, SOL price It fell 1% at one point before rebounding to $175.23 (as of 9:00 UTC on the 20th), with a 24-hour trading volume surge of 18% to $2.1 billion.

Analysts pointed out that the key to the approval of Solana ETF still lies in its commodity attribute recognition. If the SEC follows the approval logic of Ethereum ETF and classifies SOL as a commodity rather than a security, the probability of approval by 2025 is expected to exceed 60%.

Ecological explosion: Meme coin frenzy and Layer 2 innovation

Solana ecosystem presents a “tale of two extremes” today:

Meme coin frenzy: Possibly driven by the anticipation of SolanaConf 2025, projects like MOODENG, PNUT, GOAT, etc., saw a single-day surge of 30%-60%, propelling the on-chain DEX trading volume of Solana to surpass 20.5 billion USD, far exceeding BNB Chain’s $10.56 billion.
Layer 2 breakthrough: Project Solaxy announces the completion of a $34 million presale, its Layer 2 solution based on Solana increases TPS to 10,000 through off-chain computation and plans to solve network congestion issues, seen as a key innovation for ecosystem expansion.

Market Outlook: The trend of SOL under technological upgrades and regulatory games

From a technical perspective, SOL’s current price of $175.23 has surpassed the 50-day moving average ($168.50), with the RSI indicator at 62 approaching the overbought zone. If positive news is released at the SolanaConf conference, the price may challenge the $180 resistance level; conversely, if a delay in the SEC decision triggers selling, attention should be paid to the $163 support level. In the long term, the implementation of Alpenglow and progress in ETFs will be key variables in determining whether SOL can break through the $200 mark.

Conclusion: Solana’s ‘efficiency revolution’ and ecological resilience

Today, Solana is at a triple turning point of technology, regulation, and market: the disruptive upgrade of its consensus mechanism lays the potential for it to become an internet-level infrastructure, while ETF approval and security incidents test its ecological maturity. As the Anza team puts it, Alpenglow is not only protocol optimization, but also the starting point for Solana to reshape the global digital economy role. In the year 2025, where efficiency revolution and risks coexist, every move of Solana will profoundly influence Web3 The future pattern.

Author: Blog Team

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