The Solana (SOL) token is among the largest losers on the crypto market with a value drop of round 30% within the final seven days. After the US Securities and Change Fee (SEC) declared the Solana token in addition to quite a few different altcoins as securities in its lawsuits towards Coinbase and Binance US, the SOL value plummeted.
In a worst-case situation, the SEC might sue Solana Basis in the identical approach it did Ripple Labs in December 2020. Thus, the underside of the SOL value’s stoop may not be reached but, if the SEC actually takes this step and thus causes extra buyers to panic promote.
Solana Neighborhood And Builders Oppose The SEC
The Solana Basis has now responded to the SEC’s classification of its SOL token as an unregistered safety. In a press release, it mentioned, “The Solana Basis strongly believes that SOL is just not a safety,” including “SOL is the native token to the Solana blockchain, a sturdy, open-source, community-based software program challenge that depends on decentralized consumer and developer engagement to increase and evolve.”
Whereas one developer at a latest occasion dismissed the SEC’s authorized motion, stating that builders “give a shit” about what the SEC thinks, there is part of the neighborhood that’s already enthusiastic about potential methods to resolve the SEC situation.
The founding father of Degen Picks launched a ballot inside the Solana neighborhood on whether or not the blockchain ought to fork to keep away from the regulatory points with the SEC. A complete of two,050 individuals participated within the ballot, 39.9% answered “yup” whereas 24.2% answered “stfu” (shut the fuck up).
OK hear me out. It’s time to fork $SOL. SEC dissapears, FTX chapter can dump on themselves. $BTC and $ETH each did it.
cc @SOLBigBrain
Your response?
— Caps² (@capsjpeg) June 10, 2023
Surprisingly, the thought is supported by Abracadabra founder @HGEABC. By way of Twitter, he responded to the ballot, writing, “Daring however not a nasty concept really. Neighborhood fork Solana will eliminate SEC situation. No chapter will dump on you for subsequent 3 years constantly. ETH is a fork of ETC and doing nicely. Blink twice if you happen to agree.”
A consumer then requested the Abracadabra founder if he might get Solana Labs co-founder Anatoly Yakovenko and his crew to work on the fork. The Abracadabra founder speculated that they “most likely will” if they’re sued by the SEC. “Then work on the fork save their very own drawback too.” Remarkably, the Solana Basis has not but responded to the ballot.
General, nonetheless, there are combined opinions locally concerning the fork. It’s additionally value noting that proponents don’t have a particular plan for a fork but.
Nonetheless, in line with the founding father of Degen Picks, a fork couldn’t solely remedy the SEC drawback, but in addition FTX chapter. A replica of the Solana chain could possibly be given a brand new algorithm and parameters. The FTX wallets could possibly be blacklisted and never obtain the brand new token.
SOL Value Retains Falling
At press time, the SOL value was buying and selling at $15.15. The 1-day chart reveals the dicey state of affairs for the SOL value. The bulls must defend the $12.82 stage in any respect prices to forestall a fall to the December 2022 low at $8.02.
To the upside, the $16.00 stage is the important thing resistance for now. With an RSI of 26.2, SOL is in oversold territory and will provoke a restoration.
Featured picture from Analytics Perception, chart from TradingView.com
