In a recent statement, VanEck’s Head of Digital Asset Research, Matthew Sigel, shared his insights on the long-term potential of the cryptocurrency sector. Sigel emphasized that the majority of the sector’s economic value will likely be driven by Bitcoin (BTC) and one or two Layer-1 blockchains.
Bitcoin and Solana Lead the Pack
In an interview with Blockworks, Sigel expressed his belief that in the future, a significant portion of the sector’s value will come from just a few Layer-1 networks. According to him, Bitcoin and Solana (SOL) are set to capture the lion’s share of this value.
“A handful of Layer-1 blockchains will likely dominate, potentially capturing up to 99% of the sector’s economic value,” Sigel stated. His intuition strongly suggests that Bitcoin and Solana will play the most crucial roles, with investors gradually shifting their attention to DePIN and DApps.
VanEck’s Focus on Solana and DePIN
Sigel highlighted that VanEck is heavily investing in Solana’s DePIN projects, expressing strong confidence in SOL’s potential. Among these investments are Hivemapper (HONEY) and the decentralized mobile network Helium (HNT). Both of these projects align with VanEck’s belief in the future of decentralized physical infrastructure (DePIN).
Less Focus on Ethereum
Interestingly, Sigel noted that VanEck has placed less emphasis on Ethereum-based projects, opting instead to prioritize Solana. “We’ve been investing in Solana from the early stages and our confidence in it remains high. Our investment allocation to SOL far outweighs that of ETH,” he added.
With this strategy, VanEck is positioning itself to capitalize on what they see as the future leaders in the crypto space. As Bitcoin continues to dominate the market and Solana rises as a key player in decentralized infrastructure, investors are watching closely.
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