Solana Startups Establish Validators for Revenue and Governance Influence
Two weeks ago, Solana validators voted against proposal SIMD-0228, aimed at reducing network inflation. Despite this, stakeholders are still interested in lowering inflation, which could impact validator profitability.
Key points include:
- Validators earn from inflation by running Solana’s software, but lower SOL inflation may deter them financially.
- Startups can benefit from running validators for distribution and governance influence, as seen with the payment business Sphere.
- Validator operations provide startups “soft power” and the ability to attract stakers, enhancing financial prospects.
- Helius has become a leading Solana validator due to its strong presence on social media, which aids in attracting stake.
- Future innovations may allow apps to offer user perks for staking with their validators, akin to loyalty programs.