How Cardano and Polygon Benefited From Solana’s Bad Year

How Cardano and Polygon Benefited From Solana's Bad Year

Nothing is more vital than safety when it comes to managing money. In terms of security, Solana’s reputation has been shaken by recent occurrences, giving Cardano and Polygon an advantage.

Use of the Wormhole Exploit

A group of unknown cybercriminals breached the Solana network’s Wormhole Bridge in February 2022, making off with about $320 million in the process. Wrapped Ether was stolen and then swiftly dispersed across multiple wallets, making recovery nearly difficult. Because of the hack, serious flaws were uncovered and patched. Yet the damage had already been done.

The amount lost is staggering.

Additional Q1 2022 losses for Solana strengthen the case for mistrusting the company’s security procedures and development processes, which lead to the release of insecure products. Exactly 18 exploits were found in the Ethereum network, but Solana was close behind with over $397 million stolen in various hacking incidents.

For instance, a $8 million attack caused the DeFi project Crema Finance running on the Solana network to go down. Fortunately, the hacker was honest and returned the funds in exchange for a token payment.

After a string of similar security breaches, Solana’s standing among his peers plummeted. Experts in the field have noted that the reliability and security of networks with a greater number of options. On Twitter, user @altcoindalyio recommended Cardano and Polygon as two safer alternatives.

That awful year

Everything is against Solana, a DeFi project that is a prime illustration of the odds being stacked against the project from the start. After a disastrous first three months of 2022, the whale controversy in which SOL was used as collateral for large loans, and further security and reliability issues, SOL became a convenient scapegoat for critics of crypto projects and DeFI platforms.

It’s unclear if Solana can weather this storm and continue living. For the time being, it appears that the platform still has enough users and dedicated supporters. However, if there are any more hacks, it will bring the site’s reputation to the ground.

Orizu Augustine
Orizu Augustine is an experienced crypto writer working for Alltechcraft. Having passion for writing, he covers news articles from blockchain to cryptocurrency and iPhone and Samsung related articles.