Solana Governance Has To Prioritize Speed And Incisiveness

Solana co-founder Anatoly Yakovenko has moved on from the community's rejection of the Solana Improvement Document (SIMD)-0228.

Solana cofounder Anatoly Yakovenko has argued that failing fast will do more for Solana than a slew of proposal approvals. He was reacting to the failed bid of a proposal to change network tokenomics.

Solana Governance Has To Prioritize Speed And Incisiveness

Solana Improvement Document (SIMD)-0228 saw a dynamic inflation model introduced to move away from the network’s fixed inflation schedule. The proposal was met with mixed reactions as some highlighted the implications for smaller validators and centralization.

Highlighting the silver lining in the rejection of the proposal, Yakovenko stated that the speed of the process was a positive for Solana. According to the cofounder, the network’s governance needs to be “fast and decisive.”

This swift action allows for the network’s resources to be focused on exploring a better approach, rather than being preoccupied with a single proposal.

“How fast the ecosystem iterates is a thousand times more important than making sure that every proposal passes. That said… yay, we can now move on from this proposal and try something else. Sadly, the proposal didn't pass. 58% yes, 74% turnout. Thanks to everyone who voted. Now on to the next iteration!” said Yakovenko.

Over 74% of validators participated in the vote with Yakovenko declaring support for the proposal. Big ecosystem players including VanEck also threw their weight behind the proposal amid speculation that Solana price will spike following the approval.

Bulls Eye Upward Movement For SOL Price

Despite the rejection of the proposal, bulls are still clinging to hope that SOL can go on a parabolic rally. The network has faced significant downward pressure in recent weeks, complicated by Alameda’s SOL unstaking. A steep drop in Solana DEX volume darkens the cloud for the future of the asset’s price.

However, analysts are keeping their eyes on the potential repeat of a 2021 pattern that can send SOL price to $4,000. There is speculation that Solana is on course to surpass Ethereum’s market capitalization.

Optimist are hinging their prediction on on-chain metrics and the soaring number of projects building on the network. In the short term, traders have their eyes on SOL to $200 before the end of March despite a looming death cross.