The total number of wallets using the Solana network for sending and receiving funds is currently at its lowest mark since autumn 2020, with a recorded drop to 204,000 reported by The Block.
Despite reports of larger institutional investors investing in crypto funds focused on this altcoin, activity on Solana has been steadily declining the past few days.
As of the start of 2023, asset managers have put in over $26 million into SOL funds, as per CoinShares estimates.
It appears the amount of active users on the blockchain began dropping since the incident with FTX in November of last year, followed by The SEC identifying SOL as an unregistred security.
Prices for the cryptom have dropped by nearly 9% since the end of last week, with DeFiLlama observing the overall value of digital assets locked in Solana-based DeFi projects dipping to $311 million.