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Solana and Terra have jumped by 40% over the last two days despite increased threat of hackers in the DeFi space

Solana and Terra have jumped by 40% over the last two days despite increased threat of hackers in the DeFi space
Investment2 min read
  • DeFi-based cryptocurrencies SOL and LUNA have surged by 40% in the last two days to an all-time high.
  • The altcoins are witnessing renewed interest alongside Bitcoin and Ethereum.
  • Both the projects enjoy generous funding from A-list investors such as Andreessen Horowitz and Galaxy Digital.
  • Like Cardano and Polkadot, Solana intends to challenge Ethereum's dominance in building and deploying decentralised applications.
  • Terra is a platform with a plethora of stable coins pegged to different fiat currencies.
Despite the security issues involved, the market is hugely optimistic about Decentralised Finance (DeFi) tokens, surging the value of Solana and Terra tokens to an all-time high over the past two days.

Solana ($SOL) is up 40%, valuing the token at more than $70. It has managed to break past its peak of mid-May and has a market cap of more than $20 billion.

Meanwhile, Terra's token, called Luna ($LUNA), is also up by almost 40% and priced at a little more than $26.

Both the DeFi projects have witnessed trading volume rise by a whopping 50%. Despite a massive hack on Poly Network, which resulted in the theft of more than $600 million, investors aren't afraid about DeFi's future at a macro scale.


According to crypto-intelligence firm, CipherTrace, DeFi-related attacks have nearly tripled since last year, and so far this year — excluding the Poly Network hack — their value made up for three-fourths of the major hacks of 2021.


DeFi projects aim to use blockchain — the technology which underpins most cryptocurrencies — to replicate traditional financial services like loans and trading. However, it has become a prime target for attacks, and according to CipherTrace, hackers managed to steal $361 million in just the first seven months of 2021.

In contrast, the Poly Network hack is nearly double the size.


The overall crypto market has recovered from its two-month bearish cycle, and dominating currencies such as Bitcoin, Ethereum, and Litecoin have also witnessed greater investor confidence.

Crypto markets are recovering, and mining companies in North America are raking in the gains


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