Solana is currently valued at 23% of Ethereum’s market cap (28% fully diluted).
Is this pricing fair given Solana’s rapid growth?
Let’s break it down with key metrics from Artemis
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1. Price/DEX Volumes (last 30 days):
• Ethereum: 235x | Solana: 95.2x
Advantage: Solana
2. Price/TVL (last 30 days):
• Ethereum: 6.4x | Solana: 15.7x
Advantage: Ethereum
3. Price/Stablecoin Market Cap:
• Ethereum: 3.6 | Solana: 23.7
Advantage: Ethereum
4. Price/Fees (30-day annualized):
• Ethereum: 215x | Solana: 260x
Advantage: Ethereum
5. Cost to Produce $1 of Fee Revenue (2024):
• Ethereum: $1.10 | Solana: $8.20
Advantage: Ethereum
Takeaways:
• Ethereum leads in 4/5 key metrics, but Solana shines on Price/DEX Volume, a critical indicator.
• Today’s valuation seems balanced, but Solana’s faster growth—66% of Q3 users were new—could be a strong signal that it is undervalued.
• As Solana continues to capture a larger share of new users, its relative pricing might shift.
