Guide
The FTX Collapse and SOL: How Solana Crashed in 2022 — and Recovered
Bottom line: ties to FTX drove the crash — then a recovery
In November 2022, the collapse of major exchange FTX dealt a heavy blow to SOL. Because FTX and its affiliate (Alameda Research) held large amounts of SOL, fears of forced selling and liquidations cascaded, and SOL plunged from around $30 into the single digits, falling to roughly $8 by December. Some in the market declared that "Solana is finished," but the ecosystem survived. After subsequent work on outage resilience and a broad re-rating, SOL recovered to near its all-time high (about $295) in 2025.
Key points of this article
November 2022 = the FTX collapse. FTX/Alameda held large amounts of SOL → selling and liquidation fears drove a crash (from about $30 to single digits, and roughly $8 in December). DeFi TVL also collapsed. But the chain survived, was re-rated thanks to outage fixes and Firedancer, and recovered to near its all-time high (about $295) in 2025. For the full history, see The history of Solana.
What happened
| Period | Event |
|---|---|
| Early November 2022 | FTX's financial troubles surface; selling pressure on SOL |
| Mid-November 2022 | FTX collapses. SOL falls from about $30 into the single digits |
| December 2022 | SOL drops to roughly $8 (the recent bottom) |
| 2023 onward | Ecosystem survives; outage fixes and re-rating |
| 2025 | Recovers to near its all-time high (about $295) |
Why did it fall so far?
FTX and Alameda were seen as major backers and large holders of SOL, with close ties to the network. The collapse raised fears that these holdings would be liquidated, and capital also flowed out of DeFi on Solana (TVL fell sharply). It was a moment that laid bare the risk of "dependence on a single backer."
Past recovery does not guarantee the future
The move from single-digit dollars back toward all-time highs was dramatic, but that is a matter of past fact and does not guarantee future price action. Prices can still swing sharply going forward.
Read next
- History → The history of Solana
- Stability → Solana's history of network outages
Frequently asked questions
Q. What happened to SOL after the FTX collapse? A. Because FTX and its affiliates held large amounts of SOL, it crashed from around $30 into the single digits, falling to roughly $8 by December 2022.
Q. Why was Solana hit so hard? A. FTX and Alameda were major backers and large holders with close ties to Solana, so fears of liquidation and outflows of capital cascaded.
Q. Did it recover afterward? A. Yes. The ecosystem survived, and after outage fixes and a re-rating, SOL recovered to near its all-time high in 2025 — though this is no guarantee for the future.
Sources
- CoinDesk (Solana DeFi sees ~$700M wiped on FTX fallout): https://www.coindesk.com/business/2022/11/15/solana-defi-sees-almost-700m-in-value-wiped-out-on-ftx-fallout
- CNBC (Solana's yearlong slide): https://www.cnbc.com/2022/12/30/solanas-accelerating-yearlong-slide-wipes-out-over-50-billion.html
A note before investing
This article is for informational purposes only and is not investment advice. Crypto assets (including SOL) carry risks such as price volatility, hacking, and network outages. Past events and prices do not guarantee the future. Make investment decisions at your own responsibility.
Sources
FAQ
- What happened to SOL after the FTX collapse?
- Because FTX and its affiliates held large amounts of SOL, it crashed from around $30 into the single digits, falling to roughly $8 by December 2022.
- Why was Solana hit so hard?
- FTX and Alameda were major backers and large holders with close ties to Solana, so fears of liquidation and outflows of capital cascaded.
- Did it recover afterward?
- Yes. The ecosystem survived, and after outage fixes and a re-rating, SOL recovered to near its all-time high in 2025. That said, it is no guarantee for the future.
This article is informational only and is not financial, investment, or trading advice. Prices are reference snapshots and may be outdated. Always do your own research.
