Solana Is “Centralized Garbage,” Says Crypto Industry Leader

9 months ago 4

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Max Keiser called Solana’s recent outage proof that the network is “centralized garbage.” The Bitcoin pundit places XRP, SOL, ETH, ADA, BNB, and AVAX in the same category for being vulnerable to attacks, despite a recent TVL surge.

Bitcoin maximalist Max Keiser said that Solana is “centralized garbage” after its outage threatened the value of SOL and all the applications built on the network.

Solana Network Outage Sparks Debate on Future

Yesterday, the Solana network went down between 9:53 a.m. UTC and 14:57 UTC. During that period, the network experienced severe impairment in processing transaction blocks. The network took minutes rather than milliseconds to add transaction blocks, mimicking what could happen to the network in the event of a 51% attack.

Read more: What Is Solana (SOL)?

Its failure has irked crypto industry voices, who think the investors should scrap the blockchain. Aside from Keiser’s centralization criticism, an NFT collector and former DeFi bull, who goes by the pseudonym “Beanie,” thinks yesterday’s network outage should be the final nail in Solana’s coffin.

“We gave Solana the benefit of the doubt a few years ago when it was routinely down. But I don’t see how the market can allow such incompetence to slide now. Send this brokeb centralized VC chain to zero with haste,” Beanie reflected.

He argued further that the token should have fallen 98% by investors dismissing the project. In his view, the blockchain has “zero value” and is “a worse version of MySQL.”

Solana, co-founded by computer scientist Anatoly Yakovenko, has experienced eleven network outages since processing its first transaction block in 2020. Of those eleven, at least one outage per year since 2021 severely impaired block production.

Solana Outage Impact Pronounced With TVL

Keiser and Beanie’s comments come as the Solana network has surged recently. Though the network hasn’t reached its former heights, the increase in Solana applications has taken the total value-locked to $1.67 billion, more than five times its bear market lows of under $300 million.

These numbers mean that the outages have the potential to disrupt more services. Circle recently launched its euro-backed EURC stablecoin on Solana in anticipation of more regulatory clarity with the rollout of the Markets-in-Crypto assets bill later this year.

Recently, payment processor Visa lauded the network’s high transaction throughput and tapped it for a stablecoin settlement pilot. If Solana had to fail while servicing Visa, the consequences could be far-reaching.

A Visa hardware failure in 2018 affected millions of customers in the UK, Europe, and abroad. It caused headaches for spenders trying to claim back funds by keeping track of expenses.