Hi all. My name is Canaan, I run a company called Stardust and we’ll be supporting Solana and working with games like Star Atlas among others on Solana to run the blockchain engine behind their game.
@matt-KF 's problem statement is 100% spot on. For context we’ve been exploring this exact problem this week and am glad someone else has brought it up, right now its 100% unfeasible to have data-accounts en-masse on Solana, whether they be for inventory storage or NFT IPFS-hashes. The rapid increase of SOL price by 100x is a serendipitous black swan event, but its completely priced out business like ours from using Solana (which we really want to do!).
Referencing @matt-KF’s stats above, they have $5.5m in locked SOL for 55 million accounts… imagine today when we want to support a game like Star Atlas with 100x million NFTs within it and millions of players how many data accounts this will take to track, not including trades ect.
When companies like ours abstract blockchain away, we seek to roll these protocol fees into SaaS economics, but thats impossible in this scenario because the storage cost on Solana cost is already 1000x above anything we could charge a customer for.
The other thing, is I need to do financial modeling for my startup based upon how many games we can support, the cost to support each game ect, otherwise known as a component of COGS (cost of goods sold). From that perspective, understanding how the storage price fluctuates and making sure it isnt too volatile is a big component for us doing cost modeling.
I agree with @matt-KF’s proposal, but I also like his suggestion of volume-based discounts. Could be logarithmically, but I think that programs on Solana should have a decreasing byte storage cost logarithmically based upon how much data they’re storing. This better-correctly models AWS and other storage providers, where at 1mb of data storage your price may be 20% above cost, but as you reach 1000gb, your price becomes only 5-7% above cost.
Something has to change here, glad that this discussion has already been started. As a temporary fix, I would suggest a static change of the value, as I am sure something on the protocol level will take time to implement.
I can be reached at @StardustCanaan on telegram, @matt-KF plz shoot me a message.
For those who think that locking SOL for rent-exemption is fine regardless of the price because you can always get it back and therefore you’ll never lose the SOL, this is a skewed way of looking at the problem outside the lens of trying to run a self sustaining business.
Locked SOL is effectively gone forever for us, we can never remove that games data (or users), so whether its burned or locked, its gone from my pocket
Even if I could reclaim it, the NPV of cash is very important to startups. Locking $50k into a contract is a big deal for my startup, thats multiple months of runway for many and can be the difference between success and failure
While I’m bullish on Solana, being a large holder of SOL as a company (which we would be through all this locked SOL storage) is a concern to be too over exposed in a bear market. If we count all locked SOL on our balance sheets, its possible the value of our company could halve just do to all the SOL we hold through storage.
Sorry for all my random things I’ve typed, its late, hopefully some make sense!