Primer on Solana

Solana is a high-performance blockchain designed for scalability, low transaction costs, and rapid execution. It employs a Proof-of-History (PoH) mechanism alongside Proof-of-Stake (PoS) to ensure efficient validation and data integrity. Unlike blockchains that struggle with congestion, Solana’s architecture supports high throughput, making it suitable for applications requiring frequent transactions, such as Helium’s decentralized wireless network. Helium migrated from its own blockchain to Solana to improve network efficiency and enable greater interoperability.

The blockchain’s parallel processing model allows for thousands of transactions per second while maintaining low fees. This model is beneficial for Helium’s extensive network of IoT and mobile hotspots, which require frequent data updates and reward distributions. With Solana, Helium can execute microtransactions quickly, ensuring timely hotspot rewards and seamless network operations.

Solana’s on-chain composability enables smart contract interactions without relying on Layer 2 scaling solutions. Helium’s decentralized governance, token staking, and incentive models can be efficiently managed through Solana’s ecosystem. This structure facilitates a more accessible governance process, improving decision-making participation among token holders.

Programming Hotspots on Solana

Helium hotspots are now managed through Solana’s smart contract framework, which provides a structured way to validate and reward network participation. Developers program hotspots using Rust, the primary language for Solana smart contracts, enabling efficient execution of staking, proof-of-coverage verification, and data transmissions.

The transition to Solana introduces programmable staking mechanisms for hotspot owners. Unlike the previous model, where rewards were distributed through Helium’s native blockchain, Solana’s staking contracts allow for automated and more flexible reward calculations. Hotspot operators benefit from reduced latency in receiving incentives while maintaining decentralized control over network participation.

Hotspot programming also integrates with Solana’s account model, ensuring that device and transaction histories are stored transparently on-chain. This structure enhances network visibility, allowing operators to track rewards and data usage without relying on centralized servers. The account model further simplifies token interactions, making it easier to manage MOBILE, HNT, and IOT token balances.

Compression NFTs

Helium utilizes Compressed NFTs (cNFTs) on Solana to efficiently store and manage data related to hotspots. cNFTs allow Helium to represent hotspot ownership and operational records on-chain while significantly reducing storage costs compared to standard NFTs.

Each hotspot is linked to a cNFT, which contains metadata such as deployment history, staking records, and reward distribution. The use of compression reduces the amount of on-chain data needed, allowing Helium to onboard a larger number of hotspots without congesting the Solana blockchain.

cNFTs also enhance transferability and trading of hotspot assets. Hotspot owners can sell or transfer their devices while retaining verifiable ownership records on-chain. This functionality simplifies secondary market transactions, increasing the flexibility of network participation.

The introduction of cNFTs enables programmable automation, allowing Helium to integrate additional functionalities such as dynamic proof-of-coverage updates, automated reward adjustments, and smart contract-based governance. By reducing the cost and complexity of storing hotspot-related data, cNFTs improve Helium’s scalability.

Helium Oracles

Data Transfer Oracles

Data Transfer Oracles track and verify data packets sent through the Helium network. When devices communicate using LoRaWAN or 5G, these oracles collect data transfer records and report them to the blockchain. This ensures that data usage is accurately accounted for and that Hotspot operators receive appropriate rewards.

These oracles act as intermediaries between devices and the blockchain, reducing computational overhead by processing data off-chain before submitting finalized results on-chain. This approach prevents Solana’s network from being overwhelmed with small transactions while maintaining an accurate record of data transfers.

Data Transfer Oracles also improve Helium’s network efficiency by preventing fraudulent data relay attempts. The system ensures that only legitimate data transmissions contribute to rewards, preventing operators from artificially inflating their earnings.

IOT Proof-of-Coverage Oracles

The IOT Proof-of-Coverage (PoC) Oracles verify the validity of LoRaWAN Hotspot coverage. In the previous system, Helium’s own blockchain managed Proof-of-Coverage directly, requiring large amounts of computation and storage. With the migration to Solana, oracles now handle this process off-chain, significantly reducing resource demands.

These oracles collect and analyze beaconing data from LoRaWAN Hotspots, confirming that Hotspots are actively providing coverage. Once verified, the data is sent to Solana, where token rewards are distributed accordingly. The system ensures that rewards are based on actual network contributions rather than self-reported activity, reducing the potential for manipulation. IOT Proof-of-Coverage Oracles also improve network reliability by filtering out inactive or fraudulent Hotspots.

MOBILE Proof-of-Coverage Oracles

MOBILE Proof-of-Coverage Oracles perform a similar function to their IOT counterparts but are specifically designed for 5G Hotspots. These oracles validate that 5G Hotspots are providing legitimate coverage and that they are being used by real devices.

Unlike LoRaWAN, which relies on beaconing for validation, 5G PoC requires active verification through device connections and network usage data. MOBILE Proof-of-Coverage Oracles analyze data from devices connecting to the network, ensuring that rewards are distributed to operators who are actively providing mobile coverage.

By using oracles, Helium prevents fraudulent Hotspots from earning rewards without contributing real coverage. This ensures that Helium’s 5G network remains functional and serves actual users rather than being exploited for token rewards.

Oracle Data

Oracles collect data from multiple sources, including device connections, network activity logs, and independent third-party validators. The collected data is then processed, validated, and relayed to Solana’s blockchain for execution.

Oracle data is used for multiple functions, including token reward distribution, Proof-of-Coverage verification, and network analytics. Since this data is handled off-chain before being submitted to Solana, transactions are executed faster and more efficiently than they would be if all calculations were performed on-chain.

This structure allows Helium to scale its network while maintaining accurate reporting and preventing fraudulent activity. Oracles act as an independent verification layer, ensuring that all submitted data is reliable before it impacts token distribution.

Price and Reward Oracles

Price and Reward Oracles determine token distributions based on network activity and market conditions. These oracles calculate HNT, MOBILE, and IOT rewards based on real-time data, ensuring that token emissions are properly managed.

Price oracles track the exchange rates of Helium tokens relative to other cryptocurrencies, ensuring that network incentives remain balanced. By adjusting for market fluctuations, they help maintain consistent reward structures and prevent excessive inflation or deflation of token values.

Reward oracles manage token emissions for Hotspot operators, ensuring that rewards align with network performance. These oracles adjust distribution rates based on usage metrics, preventing an oversupply of tokens while maintaining incentives for continued network participation.

Highlights

• Solana’s blockchain provides a scalable and cost-efficient foundation for Helium, enabling faster transactions, lower fees, and improved interoperability.
• Hotspots on Solana use smart contracts written in Rust to automate Proof-of-Coverage validation, staking, and reward distribution.
• Compressed NFTs (cNFTs) reduce the storage cost of hotspot data, allowing for efficient tracking of ownership, deployment history, and performance.
• Helium oracles process off-chain data to verify network activity, preventing fraudulent Hotspots from earning rewards and ensuring accurate token emissions.
• Price and reward oracles manage Helium’s token distribution based on real-time market conditions, balancing incentives for hotspot operators and network participants.