Solana founder Toly: Decentralized reserves should avoid government control and lean more towards market-driven

On March 6, Solana's founder Toly shared his views on decentralized reserve mechanisms on social media. He stated that the ideal choice is not to have a reserve because if the government manages the reserve, it will lead to decentralization failure.

Toly further pointed out that if reserves must be established, each state can manage them independently to hedge against possible decision-making errors by the Federal Reserve. At the same time, if there must be a reserve mechanism, it should be based on objective, measurable and reasonable standards rather than subjectively set rules.

He finally emphasized that no matter how the reserve mechanism is set up, Solana's ecosystem can meet and exceed its goals showing strong competitiveness.