crypto venture firm Pantera Capital says ethereum is losing steam as Solana has become a “major contender for the future of blockchain development.”
Pantera Capital, a crypto venture capital firm that manages billions in assets and is reportedly considering buying millions worth of SOL from the bankrupt FTX exchange, appears to be increasingly highlighting the potential of Solana over ethereum for investors.
In a June 18 newsletter, the Menlo Park-based venture capital firm said ethereum's dominance “appears to be yielding to the multipolar model,” pointing to Solana as a notable new product that gained “significant share during the last year”.
“The change is reminiscent of Microsoft's dominance in the desktop market, until Apple broke with its vertical integration approach. Solana is now a major contender for the future of blockchain development.”
Pantera Capital
Drawing parallels to Apple's advance in the early days of personal computing, Pantera compared Solana's integrated approach to Apple's vertically integrated strategy with macOS, saying the monolithic network architecture has a “centric” product roadmap. in optimizing each component of its own blockchain.
The venture capital firm says Solana's “architectural advantages” enable a variety of use cases and user experiences that “may be more difficult to implement on modular blockchains like ethereum and Cosmos,” citing the “fast transactions.” and low cost” from Solana.
“Solana's architectural advantages allow it to capture a large portion of the new demand entering the blockchain space, accelerating its rise as a rival to ethereum.”
Pantera Capital
The company's support for Solana follows reports that Pantera Capital was among the bidders for SOL tokens auctioned by FTX during its bankruptcy proceedings earlier this year, purchasing a significant stake in the tokens. Reports indicate that Pantera Capital was interested in purchasing auctioned SOL tokens worth up to $250 million, although the exact amount purchased has not been disclosed.
