• People leaving Ethereum is a ‘never-ending story,’ according to Solana co-founder

  • In 2021, a significant proportion of developers switched from Ethereum to competing blockchains. Because the Ethereum network was still dealing with high gas fees and congestion. Solana, on the other hand, benefited greatly from this situation. Its meteoric rise over the course of 2021 established it as one of the primary Ethereum-killers.

    In early November, Solana’s native token Sol reached a new all-time high. Furthermore, at the time of writing, the token had a 10% ROI over the previous week. It also had a 24-hour trading volume of more than $3.6 billion at the time of publication.

    Surprisingly, an intriguing question arises here: with a plethora of similar protocols already on the market, how is Solana distinguishable from Ethereum? According to Solana co-founder Anatoly Yakovenko, this is because developers prefer minimally extractive and extremely fast settlement layers when deploying DeFi protocols.

    During a recent podcast, the developer stated,

    “What we’re building is a super-fast, high-performance execution layer, but settlement is also a feature.”

    To summarize, settlement layers help other blockchain ecosystems by providing security and immutability to transactions that take place on protocols built on top of them. Because it is impervious to corruption and always available. Given its erratic position in the industry, Ethereum currently serves as the settlement layer for many networks.

    Solana’s co-founder Raj Gokal stated on the Unchained Podcast that Ethereum’s advantage stems solely from its first-mover advantage and market hold. The disadvantage stems from its delayed transition to Proof of Stake consensus. He went on to say,

    “As long as those two designs serve different purposes and functions, they will both remain valuable.”

    However, with Solana’s sights set on eclipsing Ethereum’s use cases, it remains to be seen how long this coexistence between the networks will last. Neon Labs announced the deployment of an Ethereum Virtual Machine (EVM) on Solana earlier this year. Specifically, to allow users to benefit from Solana’s low transaction fees.

    When asked if this would cause Ethereum users to abandon ship and migrate to their network, Solana’s Co-Founder Anatoly Yakovenko stated, “people leaving Ethereum is just never going to happen,” adding,

    “The advantages of EVM and Solana are that you can start building new applications on Solidity, run any VM that cannot take advantage of leverage, and participate in the larger Solana ecosystem.”

    Furthermore, Yakovenko stated that Solana had a long way to go before surpassing Ethereum. Developers who have already established dApps on Ethereum but want to deploy on Solana, according to him,

    “…do not have to split their development team and spread their focus across two different languages in order to franchise their brand to any new chain where users are acquired.”

    One such example is the Brave wallet, which recently partnered with Solana. For its wallet and swap interface, it will use the network for cross-chain and native DApps. Crowny is another app that rewards customers for various interactions with brands. It is scheduled to be deployed on Solana the following week.

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