On January 3, Solana co-founder Anatoly Yakovenko, who once popularized Silly, forwarded a tweet on his social media, bringing a lot of attention to a protocol called Tiny SPL. According to the tweet, Tiny SPL is a new token standard protocol on Solana, which introduces a state compression method that allows users to hold tokens on Solana without paying storage rent.
The token asset based on Tiny SPL is DN (Deez Nutz), which can be minted for free initially. After the minting is completed, some users put DN on the market for trading. The floor price of DN fell sharply after breaking through 0.2 SOL. As of writing this article When it is 0.00089 SOL. Currently, DN is already circulating on the NFT trading platforms Magic Eden and Sinper.
Judging from price changes, the markets interest in Tiny SPL may not be high. However, Solana co-founder Anatoly still keeps the retweeted tweet about Tiny SPL at the top of his Twitter homepage. The technological innovation state compression embodied by Tiny SPL was also a technological hotspot in the Solana ecosystem in 2023. In view of this , Tiny SPL may have new developments in the future.
Tiny SPL, a smaller version of SPL
“Rent” in Solana Account
Before introducing the special features of Tiny SPL, we need to introduce the concept of Rent in the Solana account model. Rent is not the same as closing costs. Users pay rent to store data on the Solana blockchain. Transaction fees are paid for processing instructions on the network.
Unlike Ethereum, Solana charges accounts on its network a fee, or rent, for storing data state. Rent is charged regularly based on the token balance stored in the account. If the account cannot pay the rent, the system will delete the account to reduce storage costs for data that is no longer maintained. The account is exempt from rent payments if the equity in the account exceeds the minimum balance of two years rent.
Although according to the official website, the rent comes from the cost of underlying hardware storage. So as technology advances and hardware costs fall, rents are expected to fall. However, the rent is paid by SOL. As the price of SOL rises in the near future, the actual rent paid by users will also become higher. Asset management company VanEck in an articleValuation report for SolanaAs mentioned in , the rental storage fee on Solana is 0.00000348 SOL per byte, the wallet data size is 372 bytes, and each active wallet holder must reserve 0.0026 SOL. Likewise, applications and token smart contracts must maintain these storage fees. A program like Serum, which is about 340 KB in size, needs to keep a balance of 2.4 SOL in order to avoid paying rent.
Solanas token standard is SPL, and Tiny SPL aims to create a smaller version of the SPL token standard. Through state compression, users can own tokens without paying rent.
The state compression approach that attracted Helium Mobile to move to Solana
State compression is a new method of storing data launched by Solana in April 2023, which can significantly reduce the cost of on-chain storage. This technique relies on Merkle trees, which compress the verifiability of the data tree into a hash. The compression-friendly structure allows developers to store small amounts of data on-chain and update it directly in the Solana ledger, significantly reducing data storage costs while maintaining the security and decentralization of Solanas base layer.
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The first application scenario of the state compression method is NFT casting, which can reduce the cost of casting NFT on Solana by 2,400-24,000 times. According to the Solana Foundation, as of April 5, 2023, the cost to mint 1 million uncompressed NFTs on Solana is more than $250,000. The cost of minting an NFT using state compression is approximately $110.
Last months popular DePIN project Helium Mobile minted nearly 1 million NFTs when it migrated to Solana. Its minting cost was only $113. This has also become a typical test example of state compression methods. These NFTs can be used as Heliums network credentials. And to verify hotspots, it can also integrate the functions of the entire ecosystem, including token gating and access rights of hotspot owners.
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Through state compression, Solana provides creators and brands with a way to make large amounts of NFTs available to a wider audience without incurring significant costs. Now, Tiny SPL applies state compression methods to token assets, and Tiny SPL tokens do not need to pay rent compared to tokens using the regular SPL standard. Additionally, Tiny SPL tokens will not appear in users’ wallet balances, but will only be visible in the NFT section.
Tiny SPL interaction process
In terms of interactive experience, the token management link of Tiny SPL is quite special. Currently, the token asset DN (Deez Nutz) based on this protocol has been minted, and interested readers can purchase it in the secondary market. Please note that DN has no actual value. This part is only to introduce the interactive process of Tiny SPL and cannot be used as investment advice.
Go to the Tiny SPL official website https://tinys.pl/ and click Get started to connect to the wallet. It is recommended to use a test wallet without large assets.
After connecting to the wallet, the page will detect the number of Neez Nutz owned and display it (if any). The Neez Nutz icon is two peanuts.
When trading token assets, you need to determine the amount being traded. In Tiny SPL, determining the transaction quantity requires a split or merge process.
First click Neez Nutz to enter the token management interface. If you want to send 1 DN, you need to split the 125 DN into 124 DN and 1 DN before transmission. Here, the 312 DN has been split into 112 DN, 109 DN and 100 DN.
If you want to continue splitting, select the asset 100 DN to be split and click Split. Enter the quantity to be split in the pop-up page, confirm and click Split.
Confirm the signature in the wallet pop-up page. Here you can see that the operation performed on the wallet side is Send 100 DN, receive 99 DN and 1 DN. It should be noted that there are transaction gas fees in this process.
Wait after confirmation. When the following page is displayed, the split is successful. Click Done to view the split tokens.
To merge Neez Nutz, select the DN you want to merge and click Combine that pops up. The subsequent steps are the same as the splitting steps.
After the split or merger is successful, it will be reflected on the Neez Nutz assets displayed in the NFT column of the wallet. The 2 here represents 2 (different numbers) of DN. Then, users can trade Deez by trading NFT. Nuts.
Reposted by Anatoly, worthy of attention in the future
Founder of Tiny SPLsol_idity, and is also a full-stack engineer of Web3 payment infrastructure Sphere. At present, it seems that Tiny SPL is more like a technical experiment. After the launch of Tiny SPL, there were problems with the split and merge functions, which have been fixed. If Tiny SPL really has application scenarios, it may also be aimed at project parties with huge demand for token issuance. The current positioning of its token Deez Nutz is more like a combination of meme and NFT.
In addition, although the characteristic of Tiny SPL is that there is no need to pay rent to store tokens, during the splitting and merging processes, the wallet will show that a certain gas fee needs to be paid. There are many people who split Deez Nutz into the smallest unit of 1 DN for trading. The founder said that 1 100 DN is the same as 100 1 DN. He is considering making a batch merge tool so that users can easily merge DN.
In addition to technological innovations such as status compression, Anatoly Yakovenkos action of retweeting and pinning Tiny SPL-related tweets is also the reason why Tiny SPL deserves attention. As the co-founder of Solana, Anatoly’s “making orders and getting rich” effect is obvious. The community is most familiar with the meme coin SILLY derived from Anatoly’s tweets and his dinosaur costumes. It was the most watched meme on Solana last month. Among its holders, the highest floating profit was 27,000 times.
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On January 2, Anatoly replied to a dragon emoji under a tweet related to Solanas new meme coin LFG. Since then, the LFG token has risen by more than 50%, hitting a record high. However, it should be noted that the transaction process of Deez Nutz is more complicated than that of ordinary meme coins, and its narrative is not as interesting as SILLY. The subsequent development potential remains to be seen by time.
