It's safe to say that 2022 has been one of the worst years in recent memory for the crypto market. Terms like “crypto winter” and “financial contagion” became mainstream, and every month seemed to bring a new scandal or controversy, finally culminating in the spectacular collapse of cryptocurrency exchange FTX in November. Thus, it is not surprising that many cryptocurrencies are down 80% or more in a year.
But in 2023 it's a completely different story. Many leading cryptocurrencies are rising from the ashes and showing impressive growth. Two that stand out in particular are Solana (CRYPTO: SOL) and Avalanche (CRYPTO: AVAX). Both of these cryptocurrencies are still trading at significant discounts from their all-time highs, making them potential bargains.
Solana
If there is one cryptocurrency that is most closely associated with the collapse of FTX, it is Solana. FTX founder and former CEO Sam Bankman-Fried was an early venture capital backer and was known for using social media to promote Solana. Moreover, affiliates associated with Bankman-Fried and FTX (including hedge fund Alameda Research) held significant positions in Solana and other crypto tokens in the Solana ecosystem (often referred to as "Sam coins").
Avalanche that is often overlooked: the ability to create separate blockchain ecosystems (known as “subnets”) within Avalanche, each with their own rules. This unique blockchain architecture, which Ethereum does not have, makes Avalanche an intriguing option for corporations looking to experiment with blockchain technology.
Recognizing this, Amazon in January partnered with Avalanche through its Amazon Web Services (AWS) division to offer blockchain-related services to enterprise and government customers. The idea is simple but powerful: sell blockchain-related services the same way you sell cloud computing-related services. If it works, this could be just the type of long-term partnership that puts Avalanche on the path to future success.
