Ethereum

Pantera Capital Praises Solana as Ethereum Dominance Shifts to a “Multipolar Model”

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Cryptocurrency venture capital firm Pantera Capital says Ethereum is losing steam as Solana has become a “major competitor for the future of blockchain development.”

Pantera Capitala crypto venture capital firm managing billions in assets, is reportedly considering purchasing millions of SOL from the bankrupt. FTX exchange, seems to highlight Solana’s potential more and more over the years. Ethereum to investors.

Tokens deployed on decentralized exchanges by chain | Source: Pantera Capital

In a June 18 newsletter, the Menlo Park-based venture capital firm said Ethereum’s dominance “appears to be yielding to the multipolar model,” singling out Solana as an important new product that has gained “significant share over the past year.”

“This shift is reminiscent of Microsoft’s dominance in the early desktop market until Apple broke through with its vertically integrated approach. Solana is now a major contender for the future of blockchain development.

Pantera Capital

Draw parallels with AppleIn the early days of personal computing, Pantera compared Solana’s integrated approach to Apple’s vertical integration strategy with macOS, saying the network’s monolithic architecture has a “business-focused” product roadmap. optimization of each component of its own blockchain”.

Transaction volumes compared between Ethereum and Solana | Source: Pantera Capital

The venture capital firm says Solana’s “architectural advantages” enable a range of use cases and user experiences that “may be more difficult to implement on modular blockchains like Ethereum and Cosmos,” citing the Solana’s “fast and inexpensive transactions”.

“Solana’s architectural advantages allow it to capture an outsized share of new demand entering the blockchain space, accelerating its rise as a rival to Ethereum.”

Pantera Capital

The company’s endorsement of Solana follows reports that Pantera Capital was among the bidders for SOL tokens auctioned by FTX during its bankruptcy proceedings earlier this year. buy a significant stake in the tokens. Reports indicate that Pantera Capital was interested in purchasing auctioned SOL tokens for up to $250 million, although the precise amount acquired was not disclosed.

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