Solana Foundation introduces convertible grants and investments to support Solana ecosystem

New methods for supporting the entire ecosystem

Since its founding in 2019, the Solana Foundation has been instrumental in advancing the Solana network through comprehensive funding mechanisms. The Foundation's core mission centers on ensuring that the right projects receive appropriate funding at optimal times, thereby accelerating adoption, utility, decentralization, and security of the Solana network.

Traditionally, the Solana Foundation grants program has relied primarily on grants as its capital deployment mechanism. These Solana Foundation grants have proven effective in supporting public goods—resources that facilitate development on Solana and enable code reuse across projects. Grant-eligible projects have historically been limited to open-source, non-commercial ventures, particularly those that would struggle to attract external capital. Developer tooling exemplifies this category perfectly; such infrastructure is vital to Solana's ecosystem health but would likely remain undeveloped without Solana Foundation grants support.

Recognizing the evolving needs of the ecosystem, the Solana Foundation has expanded its capital deployment strategy to include two innovative funding mechanisms:

Convertible grants represent a hybrid funding approach that begins as grants but convert to investments upon project achievement of predetermined milestones. These milestones may include securing a priced funding round or achieving specific growth objectives. This mechanism enables projects to develop viable business models with Foundation support while maintaining flexibility not available through traditional grants. Convertible grants are particularly suitable for projects requiring support in building novel proof-of-concept solutions prior to venture capital fundraising, or infrastructure companies operating on closed-source models.

Investments constitute direct capital deployment by the Solana Foundation into for-profit companies actively developing on Solana. This funding mechanism targets commercialized products with active fundraising activities. The Foundation pursues investment opportunities in companies that advance its core objectives—adoption, utility, decentralization, or security of the Solana network—while demonstrating alignment with Foundation values and commitment to ecosystem public goods.

The Foundation maintains a deliberate and thoughtful investment approach, carefully evaluating company alignment with its mission. Significantly, all investment returns generated through this program are systematically cycled back into the grants program, ensuring sustainable support for future builders and maintaining the Foundation's commitment to long-term ecosystem growth. This reinvestment strategy guarantees that commercial investments generate positive impact on the Solana community.

How to apply

Projects seeking convertible grants or investment from the Solana Foundation should submit applications through the official application form available at solana.org/grants. The application process includes an option to indicate whether the project is actively raising investment funds. Upon submission, the Foundation will engage with applicants to determine which funding mechanism—traditional Solana Foundation grants, convertible grants, or investments—best aligns with the project's specific circumstances and requirements. The Foundation encourages all interested builders to apply and engage in this collaborative process.

Conclusion

The Solana Foundation's expansion into convertible grants and investments represents a strategic evolution in ecosystem support mechanisms. By complementing traditional Solana Foundation grants with flexible hybrid funding and direct investments, the Foundation significantly broadens its capacity to support diverse project types across the Solana ecosystem. This multifaceted approach enables the Foundation to support not only open-source public goods but also closed-source products and for-profit ventures that advance network objectives. Through the commitment to recycle all investment returns into grants programs, the Foundation maintains its foundational mission of sustainable ecosystem development. These new funding mechanisms collectively position the Solana Foundation to more effectively support builders and accelerate ecosystem innovation while maintaining alignment with core values of adoption, utility, decentralization, and security.

FAQ

How to get a grant from Solana?

Apply for equity-free microgrants ranging from $200 to $10,000. Submit a project overview explaining how your project benefits the Solana ecosystem. Focus on public goods and community-driven initiatives within the Solana network.

Who is the Solana Foundation?

The Solana Foundation is a Swiss non-profit organization dedicated to promoting decentralization, adoption, and security of the Solana blockchain. It funds censorship resistance projects and supports validators through its Delegation Program.

What are the eligibility requirements for Solana Foundation grants?

Eligible applicants include builders, creators, and founders developing projects in the Solana ecosystem such as DeFi, DePIN, games, NFTs, and public goods. Projects must generate public value for the community. Applications are reviewed on a rolling basis for milestone-based grants and convertible grants.

What types of projects does Solana Foundation fund?

Solana Foundation funds projects across DeFi, DePIN, games, NFTs, and public goods. It supports builders and creators through milestone-based grants and ecosystem funding initiatives within the Solana ecosystem.

What is the application process and timeline for Solana grants?

Applications are reviewed on a rolling basis by the Solana team. Submit your proposal through the official Solana Grants portal. The team will assess your application, request additional information if needed, and schedule calls with qualified projects. Applicants receive email notifications of acceptance or rejection decisions.