Solana (SOL) Shoot 9% On Franklin Templeton Endorsement

Investment asset management firm Franklin Templeton published a report detailing Solana’s (SOL) accelerated adoption over some time. With the validation from the firm, Solana has jumped by more than 9% to $138.46.

Franklin Templeton Lauds the Solana Resilience

Solana’s survival and resilience after the unfortunate implosion of the FTX cryptocurrency exchange were identified. The cryptocurrency suffered a huge blow in 2022 but has since demonstrated laudable resilience. 

Franklin Templeton pointed to the fact that Solana has successfully captured a significant part of the crypto activities from 2023 through 2024.

Considering all the odds that Solana has defied including numerous network congestion that it faced in March 2024, Franklin Templeton perceives prospects for the protocol. It says Solana’s growth is very likely to continue, especially as it is well-positioned for the next wave of crypto adoption. 

In the long run, this would contribute to helping SOL establish its dominance as the third major crypto asset after Bitcoin (BTC) and Ethereum (ETH). Franklin Templeton identified that Solana’s activity and adoption peaked in Q4, 2023, right after certain airdrops like Jito and Pyth, were conducted in its ecosystem.

Memecoin Activities Shoots Sporadically on Solana

These airdrops were instrumental to the inflows that the Solana ecosystem saw around that period. They had a “billion dollar wealth effect” on SOL and other Solana-based tokens, particularly memecoins. Markedly, the Solana ecosystem experienced a significant percentage of the memecoin activities that recently took place in the crypto landscape. 

Bonk (BONK) and Dogwifhat (WIF) were the two top-performing memecoins, bagging multiple listings on top trading platforms such as Revolt. The Solana ecosystem has seen more crypto assets created on its network with their market cap hitting unprecedented levels. 

Similarly, the network has recorded outstanding increases in its total fees and its decentralized exchange (DEX) volume. However, it is still leading as the network with one of the lowest fees, lowest transaction latency, and highest data throughput in comparison to other networks.

Finally, Franklin Templeton sees the next wave of innovations in the crypto landscape coming through Solana. These include Decentralized Physical Infrastructure Network (DePIN), micropayments, compressed Non-fungible tokens (NFTs), and Centralized Limit Order Book (CLOB). 

Generally, the investment manager is very optimistic about the Solana ecosystem, despite the congestion woes it is gradually resolving.