Bounty Question:

Question: Recently, a lot of negative news about Solana Network has been spread on social media, especially Twitter, about the ability of Solana Network to handle all transactions at any time. Many believe that Solana is not able to respond in times when the network is very busy and many transactions have failed.

Examine this claim with a detailed review of criteria such as the number of transactions,TPS, trading volume, failed transactions, and whatever you think will help you better understand the state of Solana's network.

Introduction

It can be said that Solana Network has been Ethereum's main competitor and has been able to accommodate a large number of different platforms. This network has a very low transaction fee and relatively fast transaction speed, all of which, along with the powerful Phantom wallet, have made it surpass its competitors. Solana's competitors can be mentioned as Terra, Polygon, TOMOchain, Cosmos, etc. Recently, a large number of applications, especially NFT, have been launched on the Solana network, which has caused congestion in the network, and this network has been made unavailable several times, which has caused many users to be pessimistic about it. This article will try to clarify this issue to some extent, by examining parameters such as:

Failed transaction rate

Active wallets growth

TPS

Transaction volume

Transaction fees

NFT mints

Active wallets

The number of active wallets on each network shows us how active the network has been recently and, in fact, shows how many users are interested in that network. From this point of view, Solana has recently faced a sharp decline in active wallets. The chart shows that the number of active wallets that traded on Solana on a daily basis dropped sharply after reaching a peak of 610K on May 26 and continues to decline.

Failed Transaction rate

If you ask me what is the most important parameter for checking the health of the Solana network, I will definitely answer the number of failed transactions. In fact, experience has shown that at the time of network congestion, failed transactions increase. In fact, the fewer failed transactions at the time of network congestion show that the network is strong and reliable. The chart below shows Solana's failed transactions. According to the chart, the number of failed transactions has recently reached a new level, indicating that the network has become unavailable in recent crises.

TPS and number of transactions

In the following, you see two almost similar charts that show the TPS (transaction per second) and the number of daily transactions. The TPS shows that the number of transactions per second of the Solana network has been on a downward trend since late January, although it has recently increased. In general, no improvement can be seen in the Solana network conditions from these charts, as it is still far from its maximum values. On the other hand, despite the large number of applications and NFTs that are launched on Solana on a daily basis, the number of transactions is expected to increase sharply, which has not been the case so far, and in my opinion, this chart also shows Solana's weakness too.

Average transaction fees

The following diagram shows that the average fee per transaction on the Solana network has recently increased. As it turns out, this fee has been around 0.000005 for a long time, but at different times it has even increased to $ 0.000007. Of course, it should be noted that in the worst case, the Solana fee was very low and not comparable to the Ethereum network. However, the instability of the Solana fee in recent days is another reason for users' distrust of the Solana network. For example, for the entire month of April and May, the fee has changed and even reached its maximum on April 30th.

NFT Mints

As the last parameter, we examine the number of daily NFT mints. The chart below shows the number of daily NFT mints on the Solana network. After Ethereum, the largest number of NFTs have been minted on the Solana network. As a parameter, it can be said that the higher number of Mints on Solana network shows the more activity of different collections on this network. This parameter reached its maximum on December 28, 2021, which recently returned to its peak on May 18, but since then the trend has been downward. Regarding this parameter, in general, we can not draw a growing trend for it, and as it is clear, this trend has been declining for months. Take February, March, and April, for example. Although the Solana network has many collections of NFT, it seems that the trend has not grown, although it has seen increments.

Conclusion

Before concluding, let me tell you what I did in this work. In this article, I thoroughly reviewed the status of the Solana network and several parameters were considered as the main parameters. In conclusion, I can say that firstly, the Solana network does not show a growing situation at all in terms of main parameters, and in fact, all the charts show that this network has recently faced a decrease in users. Secondly, although there have been local increases in some parameters, they can not be expressed as a positive point because the expectation of a strong and dynamic network is its continuous improvement. In general, in my opinion, if Solana does not improve its network, especially in the busy days of the market in the future, it will lose its popularity.