Kyle Samani, co-founder of Multicoin Capital, recently predicted that Solana's market value will exceed Ethereum in the future, and gave three main reasons. However, Ethereum community member Ryan Berckmans refuted it on the 28th, emphasizing that Solana will never surpass Ethereum.
Compared to the lackluster Ethereum ecosystem, the Solana ecosystem appears to be more active in this market cycle. Kyle Samani, co-founder of Multicoin Capital, asserted at the Token2049 conference in Singapore on the 19th that the market value of SOL will exceed that of Ethereum in the future, and gave his three main reasons:
The Ethereum roadmap plans to move transactions from Layer 1 to Layer 2, and this plan is being implemented smoothly. From the current point of view, more than 90% of Ethereum transactions are executed on Layer 2, but this also makes ETH unable to effectively capture transaction value.
On-chain transactions are the most important metric for blockchains, and over the past year, there have been weeks where Solana’s on-chain transaction volume has been higher than Ethereum’s, and weeks where it has been lower than Ethereum’s. However, Solana is now roughly on par with Ethereum in terms of on-chain transaction volume.
Solana’s token extensions provide many of the features needed by Wall Street institutions, payment companies, or any major asset issuers. Only when these features and related construction are ready can regulated finance emerge on a large scale on the chain, which is basically impossible to achieve on Ethereum.
Ethereum community member: Solana will never surpass Ethereum
However, Ethereum community member Ryan Berckmans tweeted on the 28th to refute Kyle Samani's views, saying that Kyle Samani reinterpreted the history of Ethereum in his speech, which was misleading and exaggerated, and that Solana would never surpass Ethereum.
In response to Kyle Samani's view that Ethereum cannot regain transaction value because it is eroded by the L2 network, Ryan Berckmans refuted that this is only a temporary phenomenon under the influence of the bear market, and L1 fees are expected to rebound. He also refuted the claim that L2 fragmentation is not good for DeFi, emphasizing that fragmentation is an inevitable result of blockchain and that the development of L2 is necessary and effective.
In addition, Ryan Berckmans criticized that Kyle Samani deliberately ignored Ethereum L2 data when comparing the DEX trading volumes of Solana and Ethereum.
As for the three major structural advantages claimed by Solana, such as token expansion, Firedancer upgrade and hardware expansion, Ryan Berckmans refuted them one by one, pointing out that technologies such as token expansion and hardware expansion are not unique, and the Ethereum ecosystem has also made similar developments, and the Firedancer upgrade has not yet reached the number of transactions per second (TPS) promised by Solana.
In Ryan Berckmans' view, Solana's real structural advantage is to use centralization and vertical integration to accelerate growth, and at least for now, it has higher curiosity and aggressiveness than Ethereum in the application layer, such as decentralized infrastructure (DePIN) and consumer encryption.
But Ryan Berckmans emphasized that Kyle Samani’s description of Solana’s advantages and progress is either overly exaggerated or completely fictitious, ignoring any details about Solana’s structural disadvantages, such as claiming that TPS can reach 50,000 transactions, but currently it can only reach 1,100 transactions at most.
Ryan Berckmans concluded:
Sol will never surpass ETH. Solana is having its moment in this cycle.
In the future, the fastest L2 will be faster than Solana. Solana’s speed and cost advantages will shrink to zero. By then, everyone will understand that the L2 model is a genius move that fits the way the world actually works while bringing extremely high value growth to ETH.
