The SXP currency is the native currency of the Solar Network, which is a Layer-1 blockchain focused on decentralized payments, ease of token creation, and practical use in daily life.
The currency was previously associated with the Swipe project before the rebranding to Solar (SXP) and the launch of its mainnet.
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1️⃣ Project background and development
The project started under the name Swipe (SXP), focusing on cryptocurrency payment cards and integration with traditional payment systems.
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Later, the Solar network was launched as an independent blockchain while retaining the same SXP token, gradually transitioning from the role of 'service token on other platforms' to a native currency for its own network.
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The rebranding was accompanied by a new narrative focusing on:
Decentralization
Environmental sustainability
Support for real payments and applications on-chain
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2️⃣ How does the Solar (SXP) network work?
⚙️ Consensus algorithm: DPoS
Solar uses a Delegated Proof of Stake (DPoS) mechanism, meaning delegated proof of stake:
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There are 53 block producers (Delegates / Block Producers) elected by SXP holders.
These delegates confirm transactions, produce blocks, and secure the network.
Token holders can vote through the project's official wallets, thus participating in governance in a quasi-democratic manner.
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✨ Advantages of this approach
Higher speed and lower fees compared to Proof of Work (PoW) chains.
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Lower energy consumption, making the project promote itself as a 'more sustainable' option.
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3️⃣ Uses of SXP within the ecosystem
The SXP currency is not just a speculative price tool; it has several functions within the Solar network:
Transaction fees (Gas Fees)
All operations on the Solar network (transfers, token creation, using applications) are paid for with SXP.
Staking and securing the network
SXP holders can lock their tokens (stake) to support validators (delegates) and earn periodic rewards.
This incentivizes users to hold the currency and contribute to the network's security.
Governance
Voting to choose block producers.
Voting on certain decisions related to the development of the network or its settings.
Payments and real-world integration
SXP is used in payment gateways and fields such as bookings, gift cards, and various applications that support payment in cryptocurrencies.
4️⃣ Tokenomics in brief
According to analytical platform data:
Circulating supply: about 664 million SXP (approximately).
Total supply: around 664 million tokens as well, with no clear announced fixed max supply limit, as estimates vary between platforms.
Market cap: tens of millions of dollars (constantly changing according to price).
The currency reached a historical peak (ATH) above $5 during the last bull cycle, before significantly declining in the bear market.
The project also relies on a model that tends to be deflationary in some of its parts by burning a portion of the tokens when using certain protocols like the Side Ledger Protocol according to some sources.
5️⃣ Features of the SXP project
✅ 1. Focus on real payments
Solar is trying to establish itself as a chain focused on payments and daily transactions, not just speculation or complex DeFi.
This includes:
Payment gateways
Crypto-linked cards
Integration with online stores and services
✅ 2. Low speed and fees
The DPoS mechanism gives the network:
High transaction speed
Very nominal fees compared to congested networks like Ethereum.
✅ 3. Community governance
The network is designed to be community-driven, where token holders play a direct role in electing representatives and influencing the direction of the network.
6️⃣ Challenges and risks
Like any medium/small market cap cryptocurrency project, SXP faces a set of challenges:
Strong competition
The market is filled with Layer-1 projects focused on payments or speed (like Solana, Avalanche, etc.), putting SXP in fierce competition to attract developers and users.
Price volatility
The currency experienced a significant drop after its historical peak, and its price moves within ranges that can be sharply volatile up and down, making it high risk for short-term speculation.
Reliance on actual adoption
The long-term success of the project depends on how much the network is actually used for payments and applications, not just the existence of the currency on trading platforms.
7️⃣ Is SXP suitable for beginners? (From an educational perspective only)
Strengths for an investor or trader interested in the project:
A project with a known history (formerly Swipe, currently Solar).
Clear focus on payments and practical use.
The possibility of earning yields through staking and participating in governance.
But attention must be paid to:
Its market size is not as large as BTC or ETH, thus the risk is higher and volatility is greater.
Its future is tied to the strength of the community and the adoption of the network compared to competitors.
This information is for educational purposes only and is not investment advice.
Before purchasing any currency (including SXP), it is important to study the project, understand the risks, and determine an amount you can afford to lose entirely.
