Ore (ORE), a project on the Solana blockchain, gained dramatically in value, surpassing $300 and reaching a price level of $312.38. This represents an increase of 113% over a 24-hour period. Despite the sudden drop to $192.46, the token is still up 70% in the last 24 hours.
However, as an interesting development, the Ore project, which works similar to Bitcoin with its mining mechanism, has decided to pause all mining activities. The decision was announced by the project's anonymous designer, known as @HardhatChad. “I have made the decision to cease all mining activities with immediate effect. I believe this action is in the best interest of Solana, the owners of Ore, and the fastest path to the v2 version of the project,” the designer said. said.
Launched just two weeks ago as an experimental hackathon project, Ore quickly caught the attention of the Solana community. The rapid increase in interest and subsequent mining activity flooded the Solana network with transactions and contributed to significant congestion problems.
At the same time, Solana was struggling with another source of congestion: increased transactions initiated by both bots and newly launched memecoins. This increase in demand for block space slowed down the network significantly. In response, Solana released a patch update to alleviate the congestion.
Since its launch, Ore has become the most used application on Solana by number of transactions, generating more mainnet traffic load than any smart contract in blockchain history, according to HardhatChad.
With Ore, miners solve cryptographic puzzles to secure the network and earn cryptocurrency. Miners earn a share of 1 ORE per minute, proportional to the number of puzzles they solve.
The project's founder said that “recent challenge updates have conclusively shown that a new contract design is needed” and added:
“By taking a break now, I will gain some much-needed time to review data, build a team, and focus our energy on getting v2 right.”
*This is not investment advice.