SwissBorg CEO & Founder Cyrus Fazel on Solana Comeback | Airdrop Alert Pro

Solana Entering 2024, momentum is building. After the collapse of FTX in late 2022, the blockchain faced questions about its close relationship with the exchange and Alameda Research. However, Solana did not disappear, but proved its resilience and became the platform of choice for fast, low-cost decentralized applications.

To learn about Solana’s return, BeInCrypto sit said Cyrus Fazel, co-founder and CEO of SwissBorg, a leading crypto wealth management platform. Fazel, once skeptical of Solana, now supports its inclusion in SwissBorg’s operations and its role in the future of decentralized finance (Decentralized Finance).

Doubts and early impressions of Solana

Fazel was candid about his initial doubts about Solana. In the early 2020s, blockchain was closely associated with FTX and Alameda Research, two entities that caused unease. “When I saw Alameda holding 10% of Solana’s supply, I thought, this is not going to end well,” Fazel said. Token concentration is a major concern, and he worries that inevitable asset dumping will harm the long-term potential of the network.

His initial reaction was not only technical, but also personal. “Part of it was jealousy, to be honest with you,” Fazel admitted. “FTX has dominated the market in 2021, and their aggressive promotion of Solana makes it hard to ignore the hype.”

However, SwissBorg’s Fazel team sees Solana differently. The engineers on his team are fascinated by their technical abilities, often working on them in hackathons or side projects. “The team saw Solana’s potential long before I did,” he added.

The turning point came when SwissBorg Chief Technology Officer (CTO) Nicolas Rémond conducted a detailed analysis of Solana’s infrastructure. “He explained that Solana is the only chain to support DEX’s CLOB system (centralized limit order book). When I saw the numbers, I couldn’t argue anymore – it was clear they were light years ahead.” Fazel said. This realization marked the beginning of SwissBorg’s journey with Solana.

FTX’s collapse in late 2022 left Solana in a precarious position. The reputation of the blockchain is closely tied to the exchange, and its token prices have plummeted. Critics were quick to predict Solana’s demise. Fazel admits he had those initial doubts. “At the time, I thought Solana was not going to make it. It was hard to imagine how they could recover from something so devastating.” he recalled.

However, what happened next surprised many, including Fazel. Instead of falling apart, Solana’s developers and community doubled down on building. “They didn’t let crashes define them. They continued to innovate, hold hackathons, release new tools. This kind of resilience is rare in cryptocurrencies.” Fazel shared.

Fazel attributes much of Solana’s recovery to the leadership of the Solana Foundation. “Their president Lilly has been instrumental. She is focused on the long-term vision and is not distracted by token prices or public opinion.” he explained. The foundation’s ability to stay focused and support developers ensured Solana could weather the storm. “Most projects fail under this pressure, but Solana proves they will survive.” Fazel said.

For SwissBorg, Solana’s ability to recover from such a major setback validates the blockchain’s strength. “It showed me that Solana is not just another project – it has staying power,” he added.

SwissBorg’s place in the ecosystem

Today, Solana plays an important role in SwissBorg’s operations, most notably integrating leading Solana DEXs such as Orca and Raydium into SwissBorg’s meta exchangepowered by 11 centralized and decentralized exchanges. MetaTrading enables trades to be routed and segmented across multiple order books to always find the best liquidity and rates, often outperforming all other competitors in the market.

Fazel described a common scenario: a SwissBorg user wants to exchange Swiss francs for SwissBorg’s BORG token. Typically, this involves exchanging Francs for Solana via a centralized exchange (CEX) and then using Solana to acquire BORG on CEX or a decentralized exchange (DEX).

high gas cost It will make the use of DEX impractical because the costs will exceed the benefits. “If gas prices were high, we would never use DEX and would always stick with CEX.” Fazel said.

However, due to Solana’s lower fees, this process became feasible, allowing SwissBorg to prioritize DEX transactions when offering better prices. Additionally, SwissBorg has introduced a feature to batch merge multiple DEX transactions into a single order.

“We consolidate five or 10 transactions into one to further reduce costs.” Fazel explained. This batch processing not only reduces fees but also minimizes the risk of Maximum Extractable Value (MEV) attacks. “With a consolidated deal, there’s less chance of being caught in the middle.” he said.

In addition to cost savings, Solana’s speed and scalability enable SwissBorg to expand its services. Fazel emphasized that this scalability translates directly into a better user experience. “It’s not just about technology, it’s about providing seamless tools to our community. Solana allows us to do that.” he added.

While Solana is an important part of the SwissBorg ecosystem, Fazel emphasized the need for diversity. “Relying on a blockchain is risky. This goes against the principle of decentralization. “ he said.

SwissBorg takes a thoughtful, “Swiss-style” approach to blockchain adoption, carefully evaluating potential options. “We’re making very slow progress on this model,” Fazel explained. The company is exploring Ethereum Virtual Machine (EVM) with Base and Decide But no specific chains have been committed yet. “Currently, we have not found the most suitable candidate.” he added.

Fazel emphasized that this measured approach includes exploring grants and partnerships to align efforts with meaningful collaborations. “As a collaborative company, it’s important to us that our contributions are recognized,” he pointed out.

Speaking about the integration with Solana, Fazel explained that SwissBorg has never sought external funding for its work, instead focusing on building tools that benefit users and the broader ecosystem. “We always try to help ourselves in two ways, and it works well,” he said. This model is the basis for SwissBorg’s ongoing exploration of new blockchain partnerships.

Solana’s role in the future of DeFi

Solana’s combination of speed and low transaction costs makes it an excellent choice for building decentralized finance (DeFi) tools. Its ability to process large volumes of transactions at minimal cost sets it apart from other blockchains, enabling projects that might not be practical on platforms with higher fees. For SwissBorg, these characteristics are crucial to creating financial instruments that are both efficient and user-friendly.

SwissBorg’s integration with Solana goes beyond its operational advantages. The BORG token is bridged to Solana and plays a central role in the ecosystem. To complement this, the SwissBorg community created Bogpada liquidity bootstrapping protocol designed for fair launches. This initiative empowers projects that are in line with the spirit of decentralization and community-driven growth, embodying the collaborative spirit of DeFi.

Fazel also commented on the rise of fair releases and community-driven projects. While he acknowledged that trends like memecoins may seem boring, he emphasized their importance in keeping the ecosystem dynamic. “Meme coins and fair releases bring new people into the space. They create engagement, which is critical to growth.” he said.

The company’s migration to Solana also includes a focus on liquidity staking, an area the platform has explored extensively with Jito. “We have been working with Jito for some time, especially on liquidity staking,” Fazel shared. This collaboration eventually led to SwissBorg considering re-staking, and although it is a somewhat controversial topic, the concept has attracted attention. “Remortgaging is something we’ve been trying and we still see the potential in it,” he added.

In addition to Solana, SwissBorg works closely with EigenLayer to become one of the largest providers of ETH and USDC on its protocol. “Many of our users have successfully farmed their tokens and received great returns,” Fazel said.

However, he noted that EigenLayer’s business model focuses on risk management across different Layer 2 networks, making its use cases more niche. “They have built something solid, but the business case has yet to fully prove itself. Still, EigenLayer’s total value locked (TVL) of $15 billion is impressive.” he explained.

Jito, on the other hand, takes a different approach by incorporating MEV rewards into its liquidity staking protocol. “Their idea of ​​distributing MEV rewards to data nodes and validators is very novel.” Fazel added.

Inspired by this model, SwissBorg derivatives cyrus Now working with Jito to develop Solana’s re-staking protocol. “Kyros.fi delegating rewards to different validators is a very exciting step for DeFi on Solana,” shared the CEO. The protocol is set to go live in the coming weeks, with Fazel highlighting its potential to drive participation without the need for large amounts of TVL.

Looking ahead, Fazel is optimistic about the possibilities DeFi offers and the role Solana will continue to play. “Solana’s strengths help us stay at the forefront of DeFi,” he said. For SwissBorg, blockchain remains an important part of its mission to democratize access to finance. Its scalability, low cost, and adaptability make it a reliable partner for building tools that empower users.

SwissBorg explores opportunities in other blockchains, e.g. SuiFazel sees Solana as an integral piece of the puzzle. “We’re always looking to the future, but Solana continues to help us fulfill our mission of giving people the tools they need to take control of their finances futures,” he concluded.