- FTX CEO Sam Bankman-Fried believes Solana is the most undervalued token
- His comments came at a time when the network is battling a severe hack that resulted in the drain of $8 million worth of user funds.
In an interview with Luck, FTX exchange CEO Sam Bankman Fried outlined his views on the Solana cryptocurrency. He also added how he believes Solana is the most underrated cryptocurrency out there, despite the fact that the cryptocurrency was recently involved in a million dollar wallet hack.
On August 3, Solana had landed in troubled waters after he reported a temporary breach in his wallets that drained nearly $8 million worth of user funds.
SBF is bullish on Solana
Despite the fact that Solana has been in hot water lately, FTX CEO Sam Bankman Fried has made it clear that the coin will soon be able to clean up its mess. In an interview with Fortune, the FTX CEO added that Solana has great future potential. He went further to add how he believes Solana is the most underrated token right now.
“SOLana’s SOL is the most undervalued token right now… at least as of a month ago,” SBF told Fortune.
Solana’s recent wallet hack made a lot of headlines when it was reported in the early hours of August 3rd. The hack resulted in nearly $8 million of user funds being drained.
However, Bankman-Fried still maintains an even-handed stance on Solana, adding that the hack may be due to a buggy app rather than a breach of Solana’s protocol.
“This wasn’t a basic blockchain problem, it probably looks like an app someone built was buggy,” SBF told Fortune via email.
It turns out that SBF’s opinion about the wallet being buggy was spot on, as the network later informed its users that it was indeed a compromised app issue.
Additionally, SBF believes Solana has tremendous potential for growth, adding that the network has clearly worked through much of its mess and will continue to do so in the near future.
“I think it got a lot of bad PR in a short period of time – I think it kind of deserved that, to be clear: Technologically, it had a lot to work on,” SBF added. “But, I think it’s already worked with two-thirds of that. I think the other third will pass.”
Founded in 2020, Solana launched as a fast and reliable blockchain network based on proof-of-stake consensus. Over time, the network expanded its use cases by penetrating the NFT and DeFi sectors.
However, the network had experienced its fair share of outages and downtime which had affected token pricing and also affected its overall reliability factor. The recent Solana wallet hack had also added fuel to the fire, affecting the entire SOL ecosystem. Despite such hurdles and hurdles, SBF maintains a bullish attitude towards Solana, adding that the hurdles will ultimately help Solana improve its technology even better than before.
“Whenever you test the limits of the possible, that’s when you understand what breaks. Any blockchain would have broken if it tried to do what Solana had done, and this was a way for him to figure out what needed to be improved and what needed to be improved.” SBF adds later
However, it should be noted that SBF has established multiple ties with Solana in the past through multiple ventures. Bankman-Fried had invested in Solana through his trading firm Alameda Research. SBF is also known to have participated in a $314 million funding round for Solana Labs, alongside building a decentralized exchange called On Solana Serum.