Solana’s Top Projects Migrate to Ethereum and Polygon: Details
- The top NFT projects on Solana, DeGods and Y00ts, will migrate to Ethereum (ETH) and Polygon (MATIC) respectively.
- Polygon paid for the move with a grant from its partnership fund, told a DeGods representative to CoinDesk.
- The DeGods team asked the Solana Foundation for $5 million to stay on the SOL blockchain.
- The Total Value Locked (TVL) of SOL has crashed over 95% from its all-time high witnessed in 2021.
The Solana (SOL) blockchain has witnessed a huge decline in its popularity recently, and it seems that the peak popularity of the project witnessed in 2021 seems quite distant. Renowned NFT projects DeGods and y00ts have recently decided to leave the blockchain and migrate to Ethereum and Polygon.
As per the announcement by Solana’s two leading NFT projects, they anticipate moving to new blockchains in the first quarter of next year. Additionally, this move came as a shock to the investors in the SOL coin, who have witnessed a 95.84% decline in the price of the crypto coin following the collapse of Sam Bankman-Fried’s exchange, FTX, which openly supported the network and even held close to $1 billion in the SOL token.
“The details of the bridge will be released when it’s ready & tested. This has never been done before at this scale. We want to make sure that it’s airtight,” both of them stated.
DeGods, an NFT profile-picture project, became a true titan across all NFT networks in 2022, despite a rough launch in late 2021. Its digital collectibles later developed into some of the most expensive ones on Solana.
It acquired a team in the actor and rapper Ice Cube-founded professional basketball league BIG3. The popularity of DeGods grew even more later this year with the introduction of the highly anticipated Y00ts project.
On the other hand, Solana has also shown massive growth in the NFT industry. As per a recent report by Messari, the blockchain recorded more than 19% quarter-over-quarter growth in NFTs and grabbed the second spot after Ethereum with respect to transaction volume and activity.
Because of its affordable gas prices and efficiency, NFT developers frequently chose Solana, which fueled the development of many successful projects on the network. While the strategies to boost GameFi are underway, Solana is working on various unique ideas, like Helium.
However, Solana has faced a severe downturn this year amid the prolonged crypto winter season, with repeated encounters with network outages worsening the situation.
The departure by the two major NFT projects comes at a time when the Solana project was caught up in the drama surrounding the collapse of crypto exchange platform FTX. It is said that FTX founder Sam Bankman-Fried intensively promoted Solana, both personally and through his exchange.
This subsequently prompted the unfortunate exit of the blockchain from the top ten on DeFiLlama’s dashboard. Notably, the total value locked (TVL) across Solana protocols is down by 95% from its all-time high in November 2021.