The following guide explains how to setup and use Solana wallet (sollet.io) designed specifically for Solana ecosystem. This wallet allows you to send, receive SOL and interact with SPL tokens (SOL based tokens) on the Solana blockchain. Jump to the guide.
ETH-based DeFi platforms such as Uniswap (UNI) (a decentralized exchange DEX) and Sushi Swap (SUSHI) has become expensive for beginners and small budget users.
Thankfully platforms like Binance smart chain (BSC) and Solana (SOL) are providing cheap on chain transactions. These platforms help educate more people about DeFi as users don’t have to spend a fortune on fees to learn. They are designed to give users an option to use DeFi with lower fees and transact instantly.
Ethereum gas fees is one main reason why DeFi users moved from Ethereum to other blockchains. Pancake Swap (CAKE) (DEX) and Venus (lending platform) on BSC are some good examples. Other than these there are many BEP20 tokens on the rise and to use them you need to connect your wallet to the Binance smart chain. Know how to connect MetaMask wallet to BSC.
Similarly there are many DEX and DeFi platforms popping up on the Solana blockchain as well. To access those platforms and to use SPL tokens (A token standard on Solana) you need a SPL token wallet. This is what we’ll be covering in this beginners guide.
Before we see how to setup SPL token wallet and use the Solana blockchain here is a quick introduction to Solana.
What is Solana?
Solana is a permission-less, open source blockchain that is designed to provide DeFi (Decentralized Finance) solutions. This project was launched in March 2020 by the Solana foundation.
Solana project mainly focuses on making decentralized finance (DeFi) accessible on a larger scale. Its high performance, highly functional blockchain allows builders around the world to create financial crypto apps (DApps) that scale today.
Being a smart contracts platform it aims to solve many of the scaling issues that are faced by the layer-1 blockchains like for example Ethereum.
It improves scalability by introducing Proof of History (PoH) combined with the Proof of Stake (PoS) consensus mechanism. With this hybrid consensus model it not only operates faster but more cost effectively than many well established blockchains. Solana can handle up to 710000 transactions per second.
It is designed to keep fees low even when its applications are used by billions of users. Due to low fees and faster transaction times Solana has attracted a large number of DeFi users in the recent times.
What are SOLs (SOL)?
SOL is a native token of the Solana blockchain. SOL tokens are passed to nodes in a Solana cluster in exchange for validating output and running an on-chain program.
To use DeFi services (smart contract executions) on Solana and to transaction SPL tokens you’ll need SOL. This is the transaction fees used on Solana ecosystem and is similar to GAS being used as fees on Ethereum.
Other than this SOL is also used for staking. Users who stake SOL will receive SOL tokens as a reward for powering and supporting the Solana network.
You can read more about Solana and SOL on their official website:
Solana Wallet (SOL) – SPL Token wallet
Solana (SOL) supports several different types of wallets. There are advanced command line tools (CLI wallet), you have third-party mobile wallets as well as web browser based wallets. Even Ledger hardware wallet has support for SOL which offers a great blend of security and convenience.
Choose a wallet that best suits your needs.
For example if your purpose is to just send, receive, store and exchange SOL tokens with ease then you can use third party mobile wallets such as Exodus or Trust wallet. These wallet provide a great user experience for newbies. But they don’t support SPL tokens yet.
If you are an advanced user or developer then command line wallet will be more appropriate. To use CLI wallet you need to install Solana CLI tools and you can read more about it here: https://docs.solana.com/wallet-guide/cli
If you are looking for wallet that you can quickly setup and use it to interact with the Solana ecosystem then we recommend browser-based web wallet. There are two browser based wallets namely Sollet and SolFlare which are similar to MetaMask wallet.
Both Sollet and SolFlare are non-custodial web wallets that allows users to send receive SOL and any SPL tokens by connecting to the Solana blockchain.
Here let’s see how to quickly setup and use Sollet.io – A simple beginner friendly wallet to hold Solana and SPL tokens
Sollet – Solana SPL token wallet
Sollet.io is a non-custodial browser-based web wallet created by the Project Serum (DEX) team.
Note: Being a client side browser wallet the wallet keys are stored in your local storage which can be encrypted using a password.
When you create a new wallet you’ll be provided with a 24 word mnemonic seed. It is very important that you backup this information safely. You’ll lose the coins and tokens from your wallet if you lose the seed word.
- Go to https://www.sollet.io/and by default it will create a new wallet for you. Make sure to save the 24 word seed phrase in a safe place and click continue. You can save them on password managers like Keepass.
- On step 2 encrypt your wallet seed using a password. Normally you can close the wallet and access sollet.io wallet back by just entering the password.
If you forget your password you will need to restore your wallet using your seed words. Also if you clear browser cache then you cannot login using password. You need to restore wallet again using seed word.
- Once password has been chosen click create wallet and the wallet will generate a new SOL (Solana) address for you.
As you can see the wallet is clear and simple and it needs no explanation at all.
Drop down SOL account and copy the deposit address.
Note: This is your SOL receiving address. Only send SOL to this address and not any SPL tokens. Unlike ERC20 which you can send to your ETH address you’ll need to add each SPL tokens separately and each tokens will create an unique deposit address. Only use that specific address for that particular token.
Adding SPL Tokens to Solana wallet
Do not worry about the fees as they are negligible. Adding each tokens will only cost you 0.002039 SOL.
If you do not have enough SOL in your wallet then you’ll not be able to add any tokens. You’ll get the following error.
sending transaction failed to send transaction: Transaction simulation failed: Attempt to debit an account but found no record of a prior credit.
Once you’ve deposited SOL here is how you can add SPL tokens.
- Click the plus icon on your Sollet wallet to add tokens.
- A popup screen will open which will contain three options: Popular Tokens, ERC20 Tokens and Manual input.
On popular tokens section you’ll find the most used tokens on the Solana ecosystem. Some examples are Serum (SRM), MegaSerum (MSRM), Bonfida (FIDA), LQID, KIN, MAPS, RAMP, Raydium (RAY) and Oxygen Protocol (OXY).
Other than projects build on Solana ecosystem you’ll also find wrapped tokens such as wrapped Bitcoin, wrapped Ethereum, XRP, FTT, YFI, LINK, USDT etc.
Simply click add to add the necessary tokens to your wallet. Remember that adding each token will cost you 0.002039 SOL.
Once you are sure about the token you can proceed to add it in your wallet.
Adding ERC20 tokens
Other than SPL tokens you can also add any ERC 20 tokens to your Sollet wallet. These are basically pegged tokens.
If you can’t find your wrapped ERC20 tokens in popular tokens tab then you can manually add it by entering the ERC20 contract address.
Go to https://etherscan.io/. Search for the token, copy the contract address and enter it in your Solana wallet and click add.
This is similar to adding custom tokens to MetaMask. To manually add custom SPL (Solana based) tokens to your Solana wallet you first need to fetch the contract address or in Solana its called token mint address.
You can find the token mint address on Solana explorer as well as from Coinmarketcap.
Search for the token name on Solana explorer and copy the token mint address. Enter the token mint address in manual input section. Then enter token name and symbol (Ticker) and click add.
Tokens will be added instantly to your wallet. Also added tokens will not disappear even if the token balance is zero.
Export keys / mnemonic
In case if you’ve failed to copy the mnemonic backup phrase during the initial wallet setup or if you are not sure if you got the right one you can always export it later.
Click account menu from the top right corner and click export mnemonic. Enter password to reveal the mnemonic.
Deleting mnemonic will delete it from your local storage. Once deleted the wallet can only be accessed back by restoring the seed phrase.
Ensure that you have the seed phrase and the private key for all current accounts before you delete mnemonic or clearing browser cache.
By default your wallet will be connected to the Solana mainnet beta. Other than that you can also choose to connect your wallet to devnet (developer mode), testnet and localhost.
Also you can add your hardware wallet. Currently only Ledger device is supported. Connect your ledger and open the Solana application.
That’s all there is to Solana wallet!
Now that you have your Solana wallet ready you can connect it and access the DEXs and DeFi applications that are build on Solana ecosystem.
Start trading, start staking and start farming SPL tokens using your Solana wallet. But do so at your own risk as most of the protocols on the Solana blockchain has not been audited yet.