As the price of SOL, the native token of smart contract platform Solana, continues to rise, various cryptocurrency whales have started accumulating it, with whales adding over 200,000 SOL, worth about $35 million, to their wallets .
According to data shared by on-chain analytics service Lookonchain, three crypto whales added more than $35 million worth of SOL to their wallets in the past few days. One whale withdrew 153,511 SOL from leading crypto exchange Binance before staking the funds, and the other whale withdrew 35,498 SOL from Binance and Kraken before staking.
The third whale identified by the service withdrew just over 13,000 SOL from Binance, bringing its total SOL holdings to 95,651 tokens, worth $16.8 million.
According to CoinShares’ latest digital asset fund flow report, net inflows into Solana Investment Fund over the past week were $10.8 million, marking the fourth consecutive week of inflows, and this accumulation was seen only on-chain. It’s not something.
The report details that over the past week, Bitcoin investment products saw net inflows of $920 million, while Ethereum products saw $34.7 million in outflows. Crypto products had a total inflow of $901 million.
🚨New: Solana recorded $10.8 million in net inflows from digital asset investment products, marking the fourth consecutive week of inflows.
Bitcoin topped the list with $920 million in inflows, while Ethereum and Cardano were the only assets to record outflows.
sauce: @CoinShares pic.twitter.com/GYFqy5nqhZ
— Solana Floor (@SolanaFloor) October 28, 2024
Investors are accumulating SOL as the cryptocurrency is poised to overtake Binance’s BNB to become the fourth-largest digital currency in terms of market capitalization.
It is worth pointing out that both cryptocurrencies have very different supply mechanisms, even though they are both gas tokens used within blockchains that power decentralized finance ecosystems.
BNB has a real-time combustion mechanism introduced in BEP-95, where a portion of the collected gas fee is burned in each block to reduce the total circulating supply, whereas Solana does not have a maximum supply . Rather, it is an inflationary mechanism.
Solana is an inflationary token whose supply increases at a predetermined rate. At launch, a supply of 500 million SOL was allocated during the creation of the genesis block, the first block on the blockchain. The current total supply is 587 million SOL.
Featured image via Unsplash.
