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Multicoin Capital co-founder: Solana’s market capitalization will surpass Ethereum’s this cycle
BlockBeats news,September 21，Multicoin Capital co-founder Kyle Samani said that, driven by factors including greater ease of use and stronger functionality, more crypto companies will choose to build on Solana rather than Ethereum in the future.Solana’s market capitalization will surpass Ethereum’s “during this market cycle,” and he believes Ethereum’s advantage as the default smart-contract network for crypto companies may gradually weaken.
Samani believes that “basically no one is truly using Ethereum today,” and that its continued lead is mainly due to stablecoins, as well as stablecoins borrowed using ETH as collateral. Samani said he is pessimistic about Ethereum’s ability to capture value. He said: “This is an asset worth 300000000000 to 400000000000 USD, but its ability to capture value is questionable, and may even be nonexistent, while it has experienced no growth at all.”
Samani further said that he does not understand why investors are willing to hold ETH at its current valuation, adding that there are many “more reasonably priced” investment opportunities in the market. He believes that more crypto companies will switch to Solana, and said that Solana is “the most fully featured network,” capable of helping enterprises seeking to integrate their businesses reduce operational complexity. Although SOL’s current market capitalization is less than one-fifth of ETH’s, its weekly and monthly network fees have both surpassed Ethereum’s.
Original link https://m.theblockbeats.info/flash/368270