Solana is one of the newest and most popular cryptocurrency projects at the moment. Thanks to its unique properties and innovative features, it quickly took the world by storm, motivating many people to invest in it. So, if you’re interested in buying this crypto, you’ve come to the right place.
Our Solana guide will tell you all you need to know about this exciting cryptocurrency. It will discuss its origin, history, key features, and usage and provide instructions on how and where to buy it in the state of Missouri.
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What Is Solana (SOL)?
Solana is an open-source cryptocurrency project whose main purpose is to serve as a platform for decentralized apps (DApps) and decentralized finance. Although there are other blockchain networks that perform the same functions, Solana stands out for its speed and scalability.
This network manages to surpass other more established cryptocurrency projects by using an innovative consensus mechanism — proof of history (PoH). It works by labeling transactions with time stamps in real-time. This process removes the need for validators, allowing for much faster transactions.
As a result, Solana is capable of handling an impressive number of transactions per second — as many as 50,000. In contrast, Visa can process up to 1,700 TPS, and Bitcoin has a processing power of only 4.6 TPS.
Because of its remarkable speed, Solana also boasts much lower gas prices than other similar networks. Its fees are only $0.01 per transaction — a negligible amount.
How Does Solana Work?
In essence, Solana is very similar to Ethereum. Both of these cryptocurrencies work on networks that enable decentralized finance and decentralized apps. Furthermore, both Ethereum and Solana have proprietary coins — ETH and SOL, respectively.
However, Solana has a huge advantage over Ethereum — it is much more scalable. Namely, in addition to proof-of-stake, the Solana network uses the PoH mechanism, which enables greater scalability. That is in addition to the speed and low fees we have already discussed.
What’s more, users don’t have to worry about the supply of Solana coins running out. The network has an unlimited amount of coins, with over 330 million currently in circulation. The current total supply, on the other hand, is around 510 million.
Origin of Solana
Solana labs were founded in 2020 by Anatoly Yakovenko, Stephen Akridge, and Greg Fitzgerald. These three software engineers have a lot of experience in the tech world, having worked for Qualcomm in the past.
However, the main figure behind Solana is Yakovenko, a Russian computer scientist who had also worked at Dropbox. He wrote and released the Solana whitepaper in 2017, after which the network started developing rapidly.
Where to Buy Solana in Missouri
Residents of the Show-Me State are legally allowed to buy and own SOL and other cryptocurrencies. While there are no Missouri-exclusive places where you can buy this token, there are platforms that cater to US customers on a large scale.
The best and most popular options for buying Solana in Missouri are crypto exchanges — both centralized and decentralized. Decentralized exchanges are more in the spirit of crypto, as they enable transactions that are completely anonymous. However, they let you buy SOL only by using another cryptocurrency.
On the flip side, centralized exchanges enable the use of a wide variety of fiat methods and currencies, making them perfect for beginners. What’s more, these exchanges are much safer, as they are properly licensed and regulated. However, they do require that their customers register and share their personal and contact information.
Alternatively, you can choose to purchase SOL tokens directly from another person. However, we don’t recommend this type of transaction, as it doesn’t ensure the safety of your funds.
Tips for Choosing a Centralized Crypto Exchange
Even though centralized crypto exchanges are the most reliable options for buying Solana, there are still significant differences between them.
To make sure a certain platform fulfills your needs and preferences, you should do a bit of research first. Let’s take a look at some of the most important factors you should take into consideration:
- Security — For an exchange to be safe and secure, it should be properly licensed and regulated. On top of that, you should also make sure the payment method you’re using ensures complete security.
- Reputation — In addition to proper licenses, the platform’s reputation can also help you determine whether it is a reliable choice. To determine whether an exchange has a good track record, you can check user reviews and feedback.
- Availability of SOL — Naturally, the platform you choose needs to offer SOL in the first place. This information is available on the site’s list of available currencies, and you can check it before registering.
- Payment methods — Before you register, you need to verify that the exchange accepts the payment methods you can use. Most platforms offer a long list of options, but some may be more limited than others.
- Availability in Missouri — An exchange you want to use should also be available to the customers from Missouri. While you can be pretty sure that every platform operating in other states is also available in the Show-Me State, it’s still worth checking.
- Liquidity — This factor is important because it shows you how fast the exchange can process your transactions. Therefore, you should go with the platforms that have higher trading volumes.
- Additional charges — In addition to the price of Solana, customers also have to pay small fees on most exchanges. The required amount can differ from platform to platform.
How to Buy SOL Using an Exchange — Step-by-Step Guide
Regardless of the exchange you end up choosing, you will likely have to go through the same process in order to buy Solana. The following steps will guide you through this process:
- Make a crypto wallet — Pick a suitable wallet and set up a safe place for your tokens. This way, you won’t have to worry about the security of your Solana tokens.
- Register on an exchange — After you’ve chosen a fitting exchange, you need to create an account on it. This process requires submitting personal information, such as your name, date of birth, and address.
- Deposit some money — Before you can make an SOL transaction, you need to deposit enough money into your exchange account. That’s why it’s important to choose a website that accepts the payment methods you use.
- Make a purchase — When the deposited money lands in your account, you’re ready to buy SOL. Pick Solana from the list of available cryptocurrencies and follow the instructions on the site to complete the transaction.
- Move the coins to your crypto wallet — As you’ll find, most centralized crypto exchanges allow you to keep SOL in your account. However, moving the tokens to your personal crypto wallet is the safest option.
Solana has only been around since 2020, but it is already one of the most highly-ranked cryptos on the market. The network owes its appeal mostly to its innovative features, which make it highly scalable, fast, and affordable. Therefore, it comes as no surprise that many people expect Solana to become even more relevant in the future and are ready to invest in it.
Thanks to this guide, you can now easily find the right place to buy SOL in a secure and straightforward way.