- Ethereum co-founder Gavin Wood has warned crypto investors of a crash in Solana, BNB, XRP and Cardano.
- Solana recently suffered a blight of operational issues in the past and its blockchain is running thirty minutes behind schedule, after failure to process transactions for hours.
- Delay in transaction processing negatively influences staking rewards, fewer epochs affect earnings delegators on the Solana network.
Solana blockchain slows down, fueling a bearish sentiment among investors. Ethereum co-founder has a negative outlook on Solana and predicted a market crash.
Gavin Wood issues a stark warning to investors
Ethereum co-founder issued a warning to altcoin holders against a drop in Solana price. Wood believes after losing $1 trillion in the recent bloodbath, the crypto market could witness further decline. Cryptocurrencies like Solana, BNB, XRP and Cardano could plummet in response to the price drop.
Wood told Reuters at the World Economic Forum in Davos,
I would hope that people pay more attention to what is belying the currency name when they get involved in a community, ecosystem, economy. The technology cannot prevent people from making mistakes but can help those who want to understand better the facts of the world, what they're buying.
The colossal crash in LUNA and UST sparked a doubt among crypto investors and led to fears among holders. Gavin Wood believes Solana price could swing wildly in response to the volatility in the crypto market.
Solana suffers operational issues, slows down
At 3:34 UTC on May 28, Solana’s team announced that the blockchain clock was running 30 minutes behind the clock. Slow block times influence staking rewards negatively,
The status update reads,
On-chain timekeeping is running approximately 30 minutes behind that of wall clocks, due to longer-than-normal block time. While this has no impact on performance or network operations, the time reported by block explorers and dapps may not reflect wall-clock time.
The Solana blockchain has 400 milliseconds block time by design, however the 1-minute average now stands at 659 milliseconds. Since slow block time translates to a disparity with clocks, it reduces the staking rewards. Instead of 182 epochs annually (rewards are paid each epoch), there are fewer with delay in the blockchain.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended Content
Editors’ Picks

TRUMP plummets 32% from April highs as President Trump denies profiting from the meme coin
The Official Trump meme coin struggles to hold above critical support at $10.00 while exchanging hands at $11.12 at the time of writing on Monday. Despite a slight increase on the day, the meme coin appears weighed down by sell-side pressure, possibly due to profit-taking.

Bitcoin hovers around $95,000 as Trump hints at mixed signals on the economy, trade deals
Bitcoin price is hovering around $95,000 at the time of writing on Monday after facing a pullback of nearly 3% over the weekend. US President Donald Trump acknowledged a possible recession but aims to announce at least one trade deal this week, the Wall Street Journal reports.

Ethena, Movement look set for heightened volatility as $58 million token unlock looms
Ethena (ENA) and Movement (MOVE) are among the altcoins facing large token unlocks this week, pointing at potential incoming volatility. Large token cliff unlocks are often characterized by increased volatility and even price drops.

Ripple Price Prediction: Examining why XRP price is struggling to sustain the uptrend
Ripple (XRP) price is yet to make headway in its broader recovery potential, targeting $3.00 in the medium term. The cross-border money remittance token hovers at $2.17 at the time of writing on Monday, up slightly on the day.

Bitcoin Weekly Forecast: BTC looks set to head back to $100K after logging fourth straight week of gains
Bitcoin (BTC) price is hovering around $97,000 at the time of writing on Friday, following a decisive breakout above its key resistance level the previous day, and looks set to post a fourth consecutive week of gains.

The Best brokers to trade EUR/USD
SPONSORED Discover the top brokers for trading EUR/USD in 2025. Our list features brokers with competitive spreads, fast execution, and powerful platforms. Whether you're a beginner or an expert, find the right partner to navigate the dynamic Forex market.