- Ethereum co-founder Gavin Wood has warned crypto investors about crashes at Solana, BNB, XRP and Cardano.
- Solana recently suffered operational issues in the past and the block was running thirty minutes from schedule, after failing to process transactions for several hours.
- Delays in transaction processing have a negative impact on staking rewards, less time affecting revenue delegation in the Solana network.
The Solana blockchain is down, causing bearish sentiment among investors. The Ethereum co-founder has a negative outlook on Solana and predicts a market crash.
Gavin Wood issued a strong warning to investors
Ethereum co-founder issued a warning to altcoin holders against Solana’s price drop. Wood believes after losing $ 1 trillion in recent bloodshed, the crypto market could witness further decline. Cryptocurrencies like that SolanaBNB, XRP and Cardano may plummet in response to the price drop.
Wood told Reuters at the World Economic Forum in Davos,
I hope that people pay more attention to what is belying the name of the currency when they are involved in society, ecosystem, economy. The technology may not prevent people from making mistakes, but it can help people who want to better understand the reality of the world, what they are buying.
The colossal crash at LUNA and UST sparked doubts among crypto investors and sparked fear among holders. Gavin Wood believes the price of Solana could swing wildly in response volatility in the crypto market.
Solana suffered operational problems, slowly
At 3:34 UTC on May 28, Solana the team announced that the blockchain clock was running 30 minutes behind the clock. Slow blocking time affects staking rewards negatively,
Update reading status,
On-chain timekeeping runs approximately 30 minutes after the wall clock, because the block time is longer than normal. While this has no effect on network performance or operation, the time reported by block explorers and dapps may not reflect wall clock time.
At Solana the block has 400 milliseconds of block time by design, but the average of 1 minute is now at 659 milliseconds. Since block time slowly translates into disparity with the clock, it reduces staking rewards. Instead of 182 epochs per year (rewards paid per period), there are fewer delays in blocks.
