The Solana ecosystem is struggling since the collapse of FTX and Alameda Research. Now on-chain data reveals that around 48,636,772 Solana tokens worth $643M, are currently in the hands of Alameda Research liquidators.
According to Solana Compass, they are locked SOL tokens; as a result, they cannot be sold, and they are not currently in circulation. These coins have been taken over by liquidators since since FTX and Alameda filed for Chapter 11 bankruptcy protection.
Your source says:
1. That percentage is wrong
2. Alameda no longer holds the SOL, the liquidators do
3. The SOL on the chart is locked and cannot be sold, often for many years
4. Regardless, Chapter 11 means nothing can be sold until bankcruptcy completes, could take 10+ years
— Solana 🧭 Compass 🔥💃 (@SolanaCompass) November 26, 2022
Therefore, these SOL coins do not truly belong to Sam Bankman-Fried anymore; rather, they belong to the users who have been negatively impacted by his actions. This information was provided by Solana Compass.
Even if the lock is removed, it is possible that these SOL tokens will not be put into circulation for a few of years due to the current legal issues surrounding them. It’s possible that it won’t be unlocked for more than a decade, all the way up until the FTX bankruptcy case is resolved.
Solana Foundation disclosed roughly 3.43 million FTT tokens and 134.54 million SRM tokens that are stuck on FTX around two weeks ago. The most valuable asset that was stated on the FTX balance sheet was $2.2 billion worth of SRM, however the hack that occurred on the exchange caused SRM prices to fall.
BitBoy, a prominent figure in the cryptocurrency industry, was quoted as saying that Alameda Research kept transactions while the Solana blockchain was halted.
In addition, he issued a warning, advising people who had investments in Solana to liquidate their holdings as soon as possible. During the time that the blockchain was offline, according to BitBoy, Alameda Research used some transactions to launder money.
As a result of all of these problems, the value of the SOL token dropped significantly. As this article is being written, the current price of SOL on the market is $13.70.
Compiled by Coinbold