Bank of America: Solana can be a "cryptocurrency visa"

In a Jan. 11 survey, Bank of America digital real estate expert Alkesh Shah predicted that Ethereum candidate Solana could become a "visa for digital assets." " ecosystem. "

The Solana network was launched in 2020 and has since grown to become the 5th largest cryptocurrency with a turnover of $ 47 billion. It is faster than Ethereum, has been used to resolve over 50 billion transactions, and has reported over 5.7 million non-fungible tokens (NFTs).

But while critics say speed comes from money spent on distribution and security, Shah says the best is the worst.

“It offers cost-effective, low-cost and easy-to-use blockchain-optimized delivery to consumer devices such as micropayments, DeFi, NFT, Decentralized Web (Web3), and gaming.

He said that due to its low cost, ease of use and scalability, Solana will capture part of the Ethereum joint venture, which can be broken down into a "profitable business". good, personal, stored and connected product. ”Shah writes.

“Ethereum places great emphasis on distribution and security at the expense of capacity building, resulting in greater integration of connectivity and trade costs exceeding the cost of delivering goods.

Visa operates an average of 1,700 exchanges per second (TPS), but the network can handle the requirement of at least 24,000 exchanges per second. Ethereum is currently operating at around 12 units per second on the mainnet (plus the second layer), while Solana is theoretically capped at 65,000 TPS.

“Solana is bigger than its capabilities, but low-impact, secure blockchain has its pros and cons as evidenced by many network performance issues from the start,” Shah said.

Over the past few months, Solana has faced a number of network performance issues, including the recent announcement of Binance's deletion on January 12, a press release regarding labor fell on January 7, and the strike. May 1st DDos took place on May 5th. . , but Solana refuses to admit it.

Less than a month later, on December 10, there was an uproar when reports of massive mergers were sparked by the initial DEX offering (IDO) from the Solana-based decentralized exchange Raydium.

In an interview with Cointelegraph on December 22, Austin Federa, director of communications at Solana Labs, said developers are now focused on solving network issues, specializing in improving business metrics.

“The way Solana works is innovative. We have made a number of new developments to help users achieve the lowest cost without having to use the Ethereum Virtual Machine (EVM), while still retaining functionality. It is important to be on time.