What is Solana
Solana is a smart contract blockchain known for high transaction speed and very low costs, achieved through a distinctive technical architecture (Proof of History combined with Proof of Stake).
Over the years it has attracted a broad ecosystem of DeFi and NFT applications, but has also experienced several network outages — a factor worth weighing when assessing its technical reliability.
Frequently asked questions
Is Solana regulated in the UK?
The UK has its own evolving regime for cryptoasset regulation, separate from the EU's MiCA framework. Crypto exchanges and custodians must register with the FCA for anti-money laundering purposes, but this doesn't equate to the investor protections that regulated financial instruments like ETFs and shares carry.
What's the difference between buying Solana on an exchange versus via an ETP?
On an exchange you hold the keys directly (or the exchange custodies them for you); an ETP (Exchange Traded Product) is instead a listed financial instrument that tracks the price, purchasable through the same broker account you'd use for ETFs and shares.
How is Solana taxed in the UK?
Gains from cryptocurrencies in the UK are generally subject to Capital Gains Tax, with specific rules that differ from those for ETFs and shares held in an ISA — this is an evolving area, so check the latest HMRC guidance or speak to a tax adviser for your situation.
