Multicoin co-founder: Solana's market cap will surpass Ethereum in this cycle

BlockBeats news, September 21: Kyle Samani, co-founder of Multicoin Capital, stated that driven by factors such as greater ease of use and functionality, more crypto companies will choose to build on Solana rather than Ethereum in the future. Solana's market capitalization will surpass Ethereum "in this market cycle," and he believes Ethereum's advantage as the default smart contract network for crypto companies may gradually weaken.

Samani believes that "basically no one really uses Ethereum today," and that its continued lead is mainly due to stablecoins and stablecoins borrowed using ETH as collateral. Samani said he is pessimistic about Ethereum's value capture capability. He stated: "This is a $300 billion to $400 billion asset, but its value capture capability is questionable, and it may not even exist at all, and it has no growth whatsoever."

Samani further stated that he does not understand why investors are willing to hold ETH at current valuations, and said there are many investment opportunities in the market that are "more reasonably priced." He believes more crypto companies will turn to Solana, calling it "the most fully featured network," capable of helping enterprises looking to integrate their businesses reduce operational complexity. Although SOL's current market capitalization is less than one-fifth of ETH's, its network weekly fees and monthly fees have both surpassed Ethereum's.