Brave New Coin, Solana to Help Solve Nevada’s Cannabis Problem
In brief Brave New Coin will lend its data to a pilot program for cannabis payments in Nevada.
Based on the Solana blockchain, the program hopes to digitize transactions in the cash-dominated industry.
In the future, the pilot will also allow customers to turn their cash into tokenized “credits” at retailers.
Crypto data infrastructure company Brave New Coin’s (BNC) technology will be used in a pilot program for blockchain-based cannabis payments in Nevada, according to a press release shared with Decrypt.
This data will be used to create a “tokenized, closed-loop financial ecosystem” based on the Solana blockchain, and fulfill the requirements of Assembly Bill 466—a pilot program to enable cannabis companies to make payments.
“Most business operators take traditional banking for granted, but the cannabis industry is cut off from most financial services in the US,” said Fran Strajnar, founder and CEO of Brave New Coin, adding, “Operators have had to be particularly innovative when it comes to managing their cash.”
He explained that BNC’s data and pricing technology will be used to help legal cannabis operators better handle payments and accounting.
Solana’s logo. Image: Solana
Solana is a high-throughput and censorship-resistant blockchain that was designed with speed, security, and scalability as its main priorities. Its native token, SOL, has more than tripled in price since the start of 2021, surging from around $1.5 to $5.16 today, according to crypto metrics platform CoinGecko.
As it stands today, while cannabis is already legalized in several states for medicinal and recreational purposes, it is still a Schedule 1 federally controlled substance. Thus, entities regulated at a federal level—such as payment processors and banks—are reluctant to deal with cannabis-adjacent firms.
This makes physical cash the only option for many dispensaries and other cannabis-related businesses. This poses serious security risks since such firms can’t deposit their cash in banks and have to hold and transfer it on their own.
Initially, the pilot would allow cannabis operators to convert cash into a “fully collateralized stable token” and exchange it with other participants of the ecosystem. In the future, the service will also add support for consumer-to-business payments and alternative cryptocurrencies.
This would allow operators to connect with banking services while consumers will be able to turn their cash into tokenized “credits” at retailers.
As Decrypt reported, crypto derivatives exchange FTX listed tokenized stocks of five cannabis-focused companies in mid-December. And they’ve grown pretty high since then.
The Solana Cryptocurrency Token Could Be Huge
Crypto The Solana Cryptocurrency Token Could Be Huge
The Solana cryptocurrency isn’t on many folks’ radar. But the outfit behind it is quietly revolutionizing how cryptos could change hands. And that’s gotten the attention of some crypto connoisseurs with an eye on the future… even if Bitcoin is the one getting the headlines.
While it may be a little premature to call 2021 the year of the crypto, prognosticators could certainly do worse. But even amid record highs, the Bitcoin dream was recently described as dead. And major media outlets have reported on cryptocurrencies being snuffed out hundreds of times.
That’s just the way the way it goes though. No matter when an obituary is written, eventually it’ll become true. Even the rumors of Mark Twain’s death were just a decade or so off. But in the world of finance, the reports of doom and gloom tend to garner the most headlines.
Take the stock market’s recent bull run for instance. It was still in its infancy when the doomsayers started warning of a major fallout. And guess what? A mere 10 years later, they were right. The bull succumbed. And the bear ever so briefly rose to prominence.
When investments are performing well, it’s so often chalked up to “irrational exuberance.” And when they drop in value, you can bet your bottom Bitcoin there will be an economic soothsayer shouting they told you so.
The simple fact is markets go up and markets go down. And cryptocurrencies are proving to operate in a similar fashion. That’s why they can make for a promising long-term investment. Especially a disrupting one with big plans for the future… like the Solana cryptocurrency.
The Solana Cryptocurrency’s Potential Is Huge
The blockchain behind Solana cryptocurrency wants to revolutionize the crypto market. And by some accounts, it’s poised to do just that. But is it a good investment? That depends on your risk tolerance and timeline.
Investors with a taste for speculation should be licking their chops. And the reason is simple: volume.
We’re seeing an unprecedented level of volume in the cryptocurrency markets. More people and money are flooding into major exchanges than ever. Demand is high. Calling it a frenzy isn’t hyperbolic when a single exchange has more than $9 billion in volume in a single day.
And unlike the crazy crypto run of 2017, this time institutional investors are getting in on the action. All of this is causing issues. The big problems are…
Scalability
The records (AKA “blocks”) in the blockchain of most cryptos are limited in size and frequency. That means transactions just aren’t capable of happening as fast as they need to… at least if they plan to compete with other traditional currencies.
High Transaction Costs
These were introduced to deter bad actors from overloading the network. But since they were introduced, they’ve scaled alongside crypto’s surge in value. This means when most cryptocurrencies are transferred to a different wallet, a noticeable fee is paid. It’s like an ATM charge that that takes place during every transaction. And they can add up quickly.
Confirmation Delays
These are pretty self-explanatory. It just boils down to folks not wanting to wait so long for deposits to be processed.
The Solana cryptocurrency could be a solution to all of the above… It’s already proving up to the challenges it set out to fix. Now it simply boils down to adoption.
Speculators Be Damned
Right now, Solana cryptocurrency is cheap. That makes sense for a new crypto on the block. But if its censorship-resistant blockchain lives up to the hype and provides the infrastructure needed for global adoption, it won’t stay cheap for long. That’s why this is an ideal investment for speculators with some time on their side.
Adoption isn’t going to happen overnight. But thanks to proof of being able to process 50,000 transactions per second at $0.00001 a pop, adoption feels like an eventuality at this point. That’s about 10,000 times the transaction speed of Ethereum and a whole lot cheaper.
But it’s far from a sure thing that the Solana blockchain becomes the norm. So those more risk averse should tread lightly… while keeping a close eye on this story as it unfolds. If the Solana blockchain becomes the new standard, investors will want to get in as close to the beginning of the Solana cryptocurrency as they can. But even if the odds look good now, they’re far from written in stone.
Remember, Betamax was arguably better than VHS. And before both of them was Cartrivision. Only one caught on though. Binary platform wars are rarely predictable. But if the crypto gods know what’s good for them, Solana will become a household name sooner rather than later. And Solana cryptocurrency won’t be this cheap ever again.
The Bottom Line on Solana Cryptocurrency
Investors with some speculative capital burning a hole in their pocket should definitely take a closer look of their own. Solana is introducing some promising technology right now. But its adoption is far from certain. So, like any investment, keep in mind the risks. And don’t let potential rewards cloud your judgement.
If you’re looking for additional crypto info and are interested in other altcoins, we suggest signing up for the free Manward Press e-letter. It’s the easiest way out there to get straightforward investing tips and tricks that can be applied to all assets.
Solana (SOL) Climbs to New All-Time High Price
The Solana (SOL) price climbed to $5.33 to claim a new all-time high above the previous $5 high.
Technical indicators and the wave count support the continuation of the upward move for Solana.
New Solana All-Time High
SOL has been moving upwards since reaching a low of $1.01 on Dec. 23, 2020.
While it initially struggled with the $3.80 resistance, SOL managed to break out on Jan. 26, 2021 and has been moving upwards since.
So far, SOL has reached a high of $5.33 before a slight pullback.
Technical indicators are bullish and support the possibility that SOL will continue moving up.
Short-Term Movement
The two-hour chart shows a breakout and re-test above the $4.10 area, which is now likely to act as support.
SOL has been increasing since validating the level as support.
Technical indicators are also bullish, supporting the possibility that the upward move will continue.
Wave Count
Cryptocurrency trader @Altstreetbet outlined a SOL chart, stating that the price is in an extended third wave and could increase all the way to $12.
It does indeed seem that SOL is in an extended wave three of a bullish impulse that began in March 2020 (shown in white below).
SOL is also in sub-wave three (orange) of the longer-term wave three.
The most likely target for the top of this impulse is found between $8.46-$8.99 (the 2.61 Fib extension of sub-wave 1 (orange) and the 1.61 Fib projection of wave 1 (white)).
SOL/BTC
The SOL/BTC chart shows a similar upward move that has been going on since Dec. 27, 2020.
Technical indicators are also bullish, supporting the continuation of the upward movement.
However, SOL is likely to face resistance at both 19,000 and 23,500 satoshis (0.382 and 0.5 Fib retracement levels respectively).
Despite the bullish signs, until SOL reclaims the 0.5 Fib and horizontal resistance level, we cannot consider the trend bullish.
Conclusion
Both the SOL/USD and SOL/BTC pairs are expected to increase. SOL/USD is looks primed to continue making new all-time high prices
For BeInCrypto’s latest Bitcoin (BTC) analysis, click here