CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 78.1% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
US English

SOL hopes users won’t hang up on WEB 3 with phone launch

By Daniela Ešnerová

09:05, 1 July 2022

A logo of Solana (SOL).
Solana phone quickly became a discussed topic in the crypto space. – Photo: ShutterStock

There has been no shortage of news coming from Solana (SOL) land lately, with its lending platform Solend almost getting rekt, and its Web3 phone Saga announcement making waves in the crypto space.

Saga - an Android phone tied with the Solana blockchain - wants to make it easier to transact and hold digital assets, tokens and NFTs and “set a new standard for Web3 experience on mobile”.

Web3 is a vision for the next stage of the internet, which would be largely decentralized and its early stages have been powered by blockchain gaming, with AXS a notable gainer from this trend. 

ASX to US dollar (ASX/USD) exchange rate

Web3 is evolving as demonstrated by the launch of a phone by Solana Mobile - a subsidiary of Solana Labs - in a bid to speed up adoption of Web3. 

While the potential for Web3 is huge with areas such as entertainment and fitness, user experience for people unfamiliar with crypto wallets may seem daunting. 

So can the Solana Mobile phone bridge the gap between Web2 and Web3? 

While SOL rose on the news, the token quickly retreated back, and the mini-rally was in line with the rest of the market, so it’s difficult to say how much can be attributed to the Web3 phone announcement.

But the news of the phone’s launch has certainly sent a message to the crypto sector. 

What is your sentiment on DOT/USD?

6.9888
Bullish
or
Bearish
Vote to see Traders sentiment!

SOL to US dollar (SOL/USD) exchange rate  

Solana is not the first team to launch a hardware product and Barnabas Goh, chief marketing officer at crypto exchange Zonda Global was guarded in whether he thought the phone would take off. 

DOGE/USD

0.15 Price
-5.990% 1D Chg, %
Long position overnight fee -0.0753%
Short position overnight fee 0.0069%
Overnight fee time 21:00 (UTC)
Spread 0.0012872

ETH/USD

3,155.05 Price
-1.750% 1D Chg, %
Long position overnight fee -0.0616%
Short position overnight fee 0.0137%
Overnight fee time 21:00 (UTC)
Spread 6.00

BCH/USD

480.05 Price
-5.890% 1D Chg, %
Long position overnight fee -0.0753%
Short position overnight fee 0.0069%
Overnight fee time 21:00 (UTC)
Spread 2.50

XRP/USD

0.53 Price
-4.710% 1D Chg, %
Long position overnight fee -0.0753%
Short position overnight fee 0.0069%
Overnight fee time 21:00 (UTC)
Spread 0.01168

“We’ve seen crypto projects announce similar projects in the past with mixed results, so only time will tell how well this offering is well received,” he says.

While we will have to wait to see how well can Solana implement the phone, chief scientific officer at metaverse game Farcana, Dimitry Mihaylov says this step may be the missing part of the puzzle in widespread Web3 adoption. 

“Despite the emergence and the continued growth of Web3 innovations, native integrations with mobile apps has been a major lack, one that Solana has now found a solution to,” he says.

Phone to launch in 2023

If the phone does succeed it will give SOL a major advantage of rival Web3 tokens such as polkadot (DOT) and Chainlink (LINK

Polkadot to US dollar (DOT/USD) exchange rate

The phone’s launch is eyed for the first quarter of 2023, with a waitlist open for those wishing to pre-order Saga for a $100 deposit, which is expected to retail at $1,000. 

“Web3 remains a nascent industry in the mainstream so the Solana Phone could face limited adoption in the short-term, but will certainly impress crypto fanatics if it does what it says on the box,” Goh says. 
 

SOL/Android mash-up

In addition to Saga, Solana Mobile Stack, a framework for Android allowing developers to create rich mobile experiences for wallets and apps on Solana, was introduced to the world in the event in New York City last month.
 
“While the mobile phone and the SMS toolkit will empower users to maintain transaction privacies across the board, it will also permit developers to bring a whole new range of applications that can broaden the overall embrace of Web3,” Mihaylov says.
 
He adds: “Solana may be the first of the smart contract platforms pioneering this innovation, this move may become a new trend amongst public blockchain networks within the next five years.” 

Zonda Global’s Goh is certainly excited about the potential for Solana Labs latest move.
 
“As with most things in the burgeoning world of crypto, the potential of risk, the possibility of return, and the excitement of a new world of finance and technology all intersect leaving us in wonder, anticipation and hope," Goh says. 

Markets in this article

SOL/USD
Solana / USD
147.4444 USD
-9.9606 -6.370%
DOT/USD
Polkadot / USD
6.9888 USD
-0.3964 -5.400%
LINK/USD
ChainLink / USD
14.95286 USD
-0.723 -4.720%
AXS/USD
AXS/USD
7.59 USD
-0.31 -4.000%

Rate this article

Related reading

The difference between trading assets and CFDs
The main difference between CFD trading and trading assets, such as commodities and stocks, is that you don’t own the underlying asset when you trade on a CFD.
You can still benefit if the market moves in your favour, or make a loss if it moves against you. However, with traditional trading you enter a contract to exchange the legal ownership of the individual shares or the commodities for money, and you own this until you sell it again.
CFDs are leveraged products, which means that you only need to deposit a percentage of the full value of the CFD trade in order to open a position. But with traditional trading, you buy the assets for the full amount. In the UK, there is no stamp duty on CFD trading, but there is when you buy stocks, for example.
CFDs attract overnight costs to hold the trades (unless you use 1-1 leverage), which makes them more suited to short-term trading opportunities. Stocks and commodities are more normally bought and held for longer. You might also pay a broker commission or fees when buying and selling assets direct and you’d need somewhere to store them safely.
Capital Com is an execution-only service provider. The material provided in this article is for information purposes only and should not be understood as investment advice. Any opinion that may be provided on this page does not constitute a recommendation by Capital Com or its agents and has not been prepared in accordance with the legal requirements designed to promote investment research independence. While the information in this communication, or on which this communication is based, has been obtained from sources that Capital.com believes to be reliable and accurate, it has not undergone independent verification. No representation or warranty, whether expressed or implied, is made as to the accuracy or completeness of any information obtained from third parties. If you rely on the information on this page, then you do so entirely at your own risk.

Still looking for a broker you can trust?

Join the 610,000+ traders worldwide that chose to trade with Capital.com

1. Create & verify your account 2. Make your first deposit 3. You’re all set. Start trading