Solaxy (SOLX) Raises $26.7M in Presale to Fix Solana's Congestion Problems

As Solana celebrates its 5th birthday, crypto's 6th biggest blockchain is showing signs of strain.

Solana celebrated its 5th birthday on March 12, but the crypto behemoth is already showing signs of strain.

Its explosive growth has led to congestion issues, putting future development at risk. But in a timely twist, Solana received an early birthday present: the launch of Solaxy (SOLX), a project that's raised $26.7 million in presale because it's designed to fix these challenges.

Solaxy's Layer 2 scaling solution aims to ease congestion on Solana caused by its surging meme coin activity, such as the high-profile launches of the TRUMP and MELANIA coins in January that caused trading volumes to soar.

Solana A Victim Of Its Own Success

Since its launch in 2020, Solana has processed over 408 billion transactions and has facilitated $987 billion in decentralized exchange (DEX) volume.

The network has also grown to more than 1,300 validators.

"Happy solana 0 block day to all those who celebrate," Solana co-founder Anatoly Yakovenko said in a March 16 X post.

But Solana's popularity has come at a cost, with surging congestion levels testing the limits of the blockchain's layer 1 infrastructure.

As more developers launch thousands of new SOL-based meme coins on a daily basis, Solana risks downtime and outages if something does not change soon.

This is where Solaxy, with its scaling technologies, comes in.

Solaxy Brings Layer 2 Functionality To The Solana Ecosystem

Solaxy aims to reduce the computational strain meme coins place on Solana's resources.

One of the ways the project will do this is by taking over a large chunk of the network's transaction processing workload.

Through a layer 2 protocol called rollups, Solaxy will bundle SOL transactions off the layer 1 mainnet and onto its own sidechain.

After grouping the transactions, Solaxy then submits the batches of transactions back to the Solana blockchain for final validation.

Solaxy's approach to transaction processing has been tried and tested within the Ethereum ecosystem through solutions like Arbitrum and Optimism, and is a proven way to scale a network.

After reducing congestion on Solana, Solaxy will then bridge the blockchain with the Ethereum network to create the ultimate Web3 ecosystem that is capable of meeting the growing demands of meme coin and decentralized app developers.

SOLX could potentially even become the primary transaction medium between two of the most prominent networks in the crypto space.

Investors are already betting big on Solaxy, which has raised over $26.7 million since its presale launched in mid-December. 

Experts are also bullish on SOLX. 99Bitcoins, a prominent YouTube channel with over $725K subscribers, says SOLX could soar 100X after its launch.

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