Sygnum's analytical group presented a report claiming that Solana fails to demonstrate credible signs of surpassing Ethereum as the blockchain of choice for institutional investors.
Market Overview: Ethereum vs Solana
According to Sygnum, doubts currently loom over Solana's potential to displace Ethereum in institutional investor preferences. Despite bearish market sentiment, Ethereum's popularity remains stable and valued.
Reasons for Growing Attention on Solana
Recently, Solana has gained attention for its high transaction volumes and dominance in fee generation. However, reliance on the memecoin sector poses revenue risks. "We do not see convincing signs that Solana would be the preferred choice," Sygnum representatives stated.
Prospects for Solana Amid Competition
Sygnum noted that Solana could benefit from more stable revenue sources, such as tokenization and stablecoins. With current shifts in Ethereum, there is a potential for Solana to seize new opportunities, particularly in creating new value and entering new sectors.
Numerous factors shape the competitiveness of Solana and Ethereum. While Solana may advance, as long as its reliable revenue sources are not established, Ethereum will remain the dominant player in the market.
