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Bank of America analyst Alkesh Shah said in a note to the bank’s clients that Solana (SOL) has a good chance to take market share from the second-largest cryptocurrency Ethereum (ETH).
According to the specialist, the developers of the Solana blockchain have optimized it well for consumer use, prioritizing low transaction fees, scalability and ease of use. This led to the fact that from March 2020 to January 2022, over 50 billion payments passed through the network. In addition, the volume of TVL (total blocked value) in it exceeded $ 11 billion.
Based on this, Shah suggested that in the future SOL could become an analogue of Visa in the digital asset ecosystem.
Ethereum is also a good network, according to the analyst. However, its developers have prioritized decentralization and security, sacrificing scalability. This led to blockchain congestion and high transaction fees.
The specialist also compared the profitability of digital currencies SOL and ETH, noting that Solana brought investors 3650% profit in 2021, while Ethereum – 207%.
Financial concern Bank of America previously announced the creation of a task force for the study of digital currencies. It was headed by one of the leading experts of the bank Alkesh Shah. The crypto team reports directly to Michael Maras, Global Fixed Income, Currencies and Commodities Research Leader.
At 18:31 (Moscow time) on January 12, SOL cryptocurrency was worth $ 146.57 (+ 7.42% per day), ETH – $ 3364 (+ 7.47%). The market capitalization of Solana was $ 75.22 billion, Ethereum – $ 397.47 billion.
Earlier, the editorial staff of Crypto.ru reported that crypto market researcher Robert Murphy compared the energy consumption of transactions in the Solana network and for queries in the Google search engine.
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