The Solana (SOL) Foundation launched Kora this week, a fee relayer and signing infrastructure designed to eliminate transaction cost barriers for users.
The tool allows applications to sponsor transaction fees entirely.
Users no longer need to hold SOL to interact with Solana-based products.
SOL currently trades around $124, down roughly 58% from its January 2025 peak of $293.
What Happened
Kora operates as both a fee relayer and signing node.
Applications can now cover transaction costs using alternative tokens, including USDC and other stablecoins.
This removes a longstanding onboarding friction point in cryptocurrency applications.
The foundation stated no standardized solution existed for fee sponsorship and remote signing, despite Solana's technical capabilities supporting such features.
Runtime Verification audited the infrastructure, adding institutional-grade security assurance.
Gaming platforms represent one clear use case.
Developers can charge fees using in-game assets instead of requiring players to acquire and hold SOL tokens.
Kora supports multiple remote signers, including AWS KMS and Turnkey, allowing teams to manage transaction signing in secure external environments rather than storing private keys locally.
The system includes balance monitoring tools to prevent failed transactions from depleted funds.
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Why It Matters
Fee abstraction addresses one of blockchain's most persistent user experience problems.
Requiring users to acquire native tokens before interacting with applications creates unnecessary complexity.
This friction particularly impacts mainstream adoption, where users expect experiences similar to traditional web applications.
Solana's infrastructure push arrives during challenging price action.
Technical analysis shows SOL testing the critical $120 support level, with analysts watching for potential breakdown or bounce scenarios.
A weekly close near current levels could trigger further decline toward $116 or lower.
The disconnect between infrastructure development and price performance reflects broader market dynamics.
Institutional interest continues growing - Solana ETPs recently attracted $69 million in net inflows despite price weakness.
However, network revenue declined significantly in 2025, falling from $2.5 billion to $500 million.
Kora represents Solana's bet that superior user experience will drive long-term adoption regardless of short-term price volatility.
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