Buy Solana SOL

Purchasing Solana (SOL) and other cryptocurrencies is simple and straightforward online. You can buy and sell Solana (SOL) on various platforms, including crypto brokers and exchanges.

Investing in Solana (SOL) and other cryptocurrencies can be done in a few easy steps. Follow this guide to get started with crypto trading on platforms like Bitpanda and build your digital asset portfolio.

1. Choose the right platform to invest

• Start by selecting a suitable trading platform that supports Solana (SOL)

• Consider features such as security, data protection, and user-friendliness

• With the Bitpanda app from the Play Store or App Store, you can invest securely and conveniently on your mobile device

2. Create an account and get started

• Register with an email address and create a strong password

• Provide necessary personal details

• Accept the terms and conditions and privacy policy

• Begin the verification process

3. Confirm your identity

• Verify your identity to start trading Solana (SOL)

• Complete the online verification with a stable internet connection and a valid ID document

4. Deposit funds into your account

• Use the Bitpanda website or mobile app to deposit fiat money or other tradable assets into your account

• You can deposit via bank transfer, credit card, PayPal or Apple Pay

• There are also options to use EPS and SOFORT transfers, giropay, SEPA direct debits and other online payment services such as Skrill and NETELLER

5. Buy Solana and invest in cryptocurrencies

• Once the funds are in your account, you can buy Solana and other cryptocurrencies

• Simply select Solana (SOL) for purchase, choose a payment method, and confirm the transaction

If you are interested in investing in cryptocurrencies like Solana (SOL), Bitpanda offers a user-friendly and secure platform to get started.

Intuitive platform

Our platform features a user-friendly interface that makes buying Solana (SOL) simple for both beginners and experienced traders. With the Bitpanda app, you can conveniently trade cryptocurrencies and other assets on your smartphone.

Install the Bitpanda app on your smartphone or tablet now.

Licenced and trustworthy

Bitpanda operates under strict regulatory guidelines and holds all necessary licenses for crypto brokers. Our business practices and holdings are regularly validated by external auditors. This ensures high security and transparency for every transaction.

Wide range of assets

At Bitpanda, you can invest in more than just cryptocurrencies. We offer over 3000 assets, including ETFs, CFDs, stocks, indices, and precious metals. Unlike other crypto exchanges, we guarantee stable prices based on the current market value.

Bitpanda wallet

Your Solana (SOL) and other cryptocurrencies are securely stored in the wallet of your Bitpanda account. You can transfer your digital assets to an external wallet at any time.

24/7 customer support

If you have any questions or encounter issues while trading Solana (SOL) or other assets, our customer support team is available 24/7 to assist.

Beginner-friendly products

Bitpanda offers products designed to help you start your crypto investment journey easily. With theBitpanda crypto indices, you can invest in a diversified portfolio of leading cryptocurrencies. TheBitpanda Savings plans allow for regular investments to build long-term wealth.

Forecasts predict a continuous increase in the Solana (SOL) price due to the growing acceptance and use of cryptocurrencies. Those who invest early could benefit from long-term price appreciation.

The value of Solana (SOL) can be affected by various factors, such as regulatory changes and global economic events. Therefore, it is essential to thoroughly research before investing. The following sections give an overview of the key events and factors impacting its price.

The past price trends of Solana (SOL) do not indicate future performance.

Key information about Solana:

• Solana is a blockchain-based cryptocurrency that was released in 2020

• Solana uses a unique Proof of Stake consensus protocol that enables fast transactions

• Since its release, Solana has developed into a popular platform for DeFi projects

• In 2021 Solana experienced an impressive price trend and was one of the fastest-growing crypto projects

• Solana (SOL) reached its all-time high (ATH) in November 2021 at approximately 260 USD

Solana is a high-speed, censorship-resistant blockchain known for its scalability. It integrates Proof of Stake (PoS) and Proof of History (PoH) consensus mechanisms to ensure fair transaction ordering. SOL tokens, limited to 489 million, serve as Solana's native currency and support staking.

If you want to buy Solana, Bitpanda is a suitable platform for trading cryptocurrencies. Register today and start with your crypto portfolio.

The SOL token powers transactions, smart contracts, and DeFi services in Solana’s network. Additionally, SOL tokens can be used for staking. Solana addresses blockchain inefficiencies by offering high transaction speeds and seamless DeFi integration. Since its launch, Solana has become a significant player in the DeFi sector.

Decentralised applications (DApps) operate similarly to traditional applications on computers or smartphones within some blockchains. A blockchain is like an operating system where you can use applications similar to Windows, MacOS, Android, or iOS. Solana's blockchain excels in speed and scalability due to its innovative Proof of Stake mechanism, sharding technology, and existing DApp infrastructure.

What makes Solana unique?

Solana is known for its speed, which ensures that applications on this blockchain run faster than on others. This throughput is often measured in transactions per second, where a higher number indicates a faster blockchain.

When an increasing number of users want to use DApps on the blockchain, they often become slower and less efficient as the blockchain cannot adequately handle the demand. This is where Solana's scalability comes into play, enabling it to process an ever-growing number of transactions by adding more resources to the system.

How many SOL tokens are in circulation?

The Solana Foundation has announced that there will be a total of 489 million SOL tokens, with around 370 million already released.

The distribution of SOL tokens was as follows: 16.23% went to the seed sale, 12.92% to the founding sale, 12.79% to the team, and 10.46% donated to the Solana Foundation. The remainder have already been released for public or private sales or are yet to be brought to the market.

With Bitpanda Savings plans, you can easily invest in Solana by choosing your preferred investment frequency, weekly, bi-weekly, or monthly, and setting your desired amount.

Unique security of the Solana network

Solana is based on an unusual combination of the consensus mechanisms Proof of History (PoH) and Proof of Stake (PoS). PoH forms the core of the Solana protocol and is responsible for most of the transaction processing. It records successful transactions and the time between them, ensuring the ‘trustlessness’ of the blockchain.

The PoS consensus is a monitoring method for the PoH processes and verifies every sequence of blocks it has created. This combination of two consensus mechanisms makes Solana unique in the crypto industry.

As Solana is a Proof of Stake blockchain, you can easily participate in transaction validation through Bitpanda Staking and be rewarded by the network. Stake your coins and tokens with just one click and automatically receive weekly rewards.

What you should know about Solana:

• Solana was founded in 2017 by software developer Anatoly Yakovenko

• The platform was specifically developed for use in decentralised financial services (DeFi)

• Solana offers a fast and efficient blockchain solution that can execute thousands of transactions per second

• The platform supports various applications, including DeFi protocols, gaming, and NFT applications (non-fungible tokens)

• Solana has partnerships with well-known crypto companies, including Serum and Raydium

• SOL tokens are an important currency in the Solana economy

• Solana is continuously evolving by introducing new features and applications

• Solana has low transaction fees compared to other cryptocurrencies 

• Considered a potential competitor to Ethereum as a leading provider of smart contracts

Do you want to invest in Ethereum and Solana? The Bitpanda crypto indices offer you the opportunity to invest in Solana (SOL) and multiple other cryptocurrencies to diversify your long-term portfolio.

Analysing Solana’s price can be carried out using similar techniques as in stock analysis. Technical analysis uses various indicators to understand the price trends and recognise past price movements.

Excessive price fluctuations in SOL are often associated with increased trading volumes as many traders buy or sell their tokens.

Price history of Solana (SOL)

Major price milestones include:

• 2020: Solana price fluctuates between 0.50 and 1.50 USD

• September 2020: SOL price rises for the first time to 4.35 USD

• December 2020: SOL price drops back to 1.20 USD

• From February 2021: SOL price benefits from the crypto hype and reaches a high of 56.09 USD in May 2021

• November 2021: All-time high with 258.78 USD 

• 2022: SOL price drops again to below 10 USD

Solana's price development

Since its launch, Solana has shown a volatile price trend. Price fluctuations, like many other tradable assets, are often associated with an increase in trading volume as many traders buy or sell their coins or tokens (such as SOL) on exchanges. Investors should know that past performance is never an indicator of future price trends.

Solana: The first tokens in circulation

After the launch of SOL in March 2020, the SOL price fluctuated between 0.50 and 1.50 USD for the rest of the year. During the crypto boom in 2021, SOL benefited, like other cryptocurrencies, and the price reached 56.09 USD by May 2021.

Although it fell to 23.49 USD in July 2021, the SOL price rose again in the second half of the year, reaching its all-time high of 258.78 USD in November 2021.

Solana market capitalisation 

Solana experienced significant value appreciation in 2021 and its value increased by more than 11%. The crypto market as a whole rose significantly during this time. Bitcoin was in the midst of a strong bull market (a phase of sustained rising stock prices), and its dominance in the market affected other cryptocurrencies. Any significant change in the Bitcoin price usually affects other cryptocurrencies.

The 2022 crypto crash

The year 2022 was challenging not only for Solana. The crypto crash of 2022 was caused by a combination of factors, including regulatory concerns (crypto ban in China), market overheating (wide range of altcoins), hacker attacks, and negative headlines (such as the FTX crypto exchange crash).

These factors led to decreased confidence in the crypto market and numerous sales, ultimately contributing to the crash. The price dropped sharply after the turn of the year and could not recover.

Since the high in November 2021, the Solana price has fallen by 91%, significantly more than other cryptocurrencies. Currently, the SOL price is around 23 USD, corresponding to the level before the 2021 bull market. The market capitalisation has also weakened and is currently at 8.8 billion USD. The daily trading volume fluctuates (as of January 2023) between around 190 million and 2 billion USD.

Solana price forecast

Analysts have different opinions about the possible price development of Solana. While some predict a value of 500 USD, the current volatility in the crypto market shows that investing in a cryptocurrency like Solana carries risks.

Reliable forecasts for medium and long-term price development are unpredictable due to the crypto market's susceptibility to external factors and sharp fluctuations. A failure of the Solana blockchain and the proximity to FTX founder Sam Bankman-Fried led to a loss in the SOL price at the end of 2022.

Various factors can influence the Solana price:

• Crypto market development: The cryptocurrency market is subject to high volatility and can be influenced by general trends and crypto news

• Technology development: Solana's technological advancements, new partnerships, and product integrations can increase interest in the currency and thus influence the price

• Regulation: Laws and regulations related to cryptocurrencies can influence interest and confidence in Solana

• Competition: This can cause Solana prices to rise or fall, depending on how competitive the project is compared to others

• User behaviour: The demand for Solana increases when more people and businesses use the currency

Inflation rate and transaction fees

Since June 2021, Solana has had an annual inflation rate of 8%, which is expected to decrease to 1.5% by 2031. This increasing money supply puts pressure on the SOL price as a higher price requires demand to grow faster than the supply. 

To compensate for this, part of each transaction fee is burned, slowing the growth of the circulating supply. The other half is paid to Solana network validators and stakers. These rewards could increase demand for SOL as there are more incentives for buying and staking.

Security issues at Solana

In 2022, Solana experienced outages. In June the mainnet had to be shut down for seven hours as it no longer had a consensus protocol and could not generate new tokens under the Proof of Stake process. Solana also suffered from DDoS attacks, where bots caused network overload, leading to Solana being offline for up to 15 hours.

Overall, the Solana blockchain was shut down eight times in 2022, incidents that can unsettle investors and influence the Solana price.

Partnerships and user behaviour

User behaviour on the Solana blockchain and collaborations with investors and companies also influence the price forecast. 

The Solana ecosystem is extensive and constantly expanding. It hosts DeFi projects, NFT marketplaces, crypto lending protocols, and Web3 apps. In 2021, the number of projects on Solana grew from 70 to over 5,100. An increasing number of partnerships and Solana users can influence the demand for SOL and lead to rising prices.