- A crypto whale’s early investment in Solana and long-term staking approach yields a massive $153 million profit.
- Solana briefly overtakes Ethereum in staking market capitalisation, signalling its growing prominence in the crypto space.
A long-term staking strategy by a Solana whale has paid off handsomely, netting over $153 million in profit. This highlights the increasing appeal of the Solana network to major investors and its growing competitiveness in the crypto market.
Solana Gains Traction as Whale Activity Increases
Lookonchain analysis revealed that a crypto whale unstaked 100,000 SOL, worth around $13.9 million, and deposited them on Binance. Back in 2021, the whale had staked 991,079 SOL when the price was approximately $27, investing nearly $27 million in a long-term yield strategy.
Today, the wallet holds 1.19 million SOL, significantly boosted by Solana’s price surpassing $140, bringing the total value to an estimated $180 million.
After 4 years of staking, this whale unstaked 100K $SOL($13.9M) 2 hours ago and deposited it to #Binance. Back then, he staked 991,079 $SOL at around $27. He still has 1.19M $SOL($166.37M) staked, with total profits of over $153M,
the account reported.Â
Earlier this month, blockchain intelligence firm Arkham Intelligence reported the largest single-day unlock of staked SOL, where four wallets collectively holding $37 million worth of tokens since 2021 had their SOL released.
By the time of the unlock, those tokens had appreciated to over $206 million, with about $50 million sold soon after, translating into realised profits.
$200M OF SOL UNLOCKING TOMORROW. Tomorrow (4th April) marks the largest single-day unlock of staked SOL until 2028,
Arkham reported.Â
This major capital movement caused Solana to briefly overtake Ethereum in staking market capitalization on April 20, with over $53 billion in staked value. Although Ethereum quickly reclaimed its lead, the event showcased Solana’s proof-of-stake mechanism and yield incentives as serious competition.
Reactions to Solana’s temporary lead were varied, with some viewing it as a positive sign of the network’s maturity, while others raised concerns about centralisation and token distribution. Regardless, it’s evident that major players are increasingly investing in Solana.
Galaxy Digital, led by Mike Novogratz, has also been shifting from ETH to SOL, depositing 65,600 ETH, over $106 million to Binance and withdrawing approximately 752,240 SOL, valued at $105 million. These SOL tokens were then distributed to various unidentified wallets, reflecting a broader institutional trend.
Ethereum has encountered significant hurdles, with its price declining by 51.5% year-to-date and its market dominance dropping to under 7% of the total cryptocurrency market capitalization. At the same time, decentralized finance (DeFi) activity has been migrating elsewhere, as evidenced by a drop in Ethereum-based DEX trading volume from $82.2 billion in January to $42.5 billion in March.
Meanwhile, Solana is gaining popularity as a faster and more affordable alternative, hosting a wide range of active protocols, becoming a hub for memecoins, and offering low transaction fees. A recent withdrawal of 374,161 SOL $52.7 million from Binance to a private wallet, flagged by Whale Alert, typically indicates accumulation and often precedes price rallies, further bolstering Solana’s near-term outlook.
With Solana trading at $152.49, up 10% in the last 24 hours and up nearly 4% over the past week, its momentum is strong, driven by both price action and the strategic moves of high-stakes investors. As Ethereum prepares for its Pectra upgrade on May 7 to enhance scalability and user experience, it may face renewed competition from Solana’s growing influence.