SOLANA NETWORK TAKES THE LEAD IN THE MARKET!
Solana was gradually overtaking Ethereum even before the crypto winter started. Due to Ethereum’s high transaction costs, users of non-fungible tokens (NFT) and decentralized finance (DeFi) switched to the network, quickly gaining popularity. But Ethereum continued to have the upper hand over Solana. Up until recently, when the latter speeded up.
The number of network transactions is one crucial area in which Ethereum has consistently excelled. Other DeFi and NFT networks have had to compete for second place as the crypto winter continues, but Solana has elevated the conflict. With more transactions than the Ethereum blockchain, the network is now the most active smart contract network.
This is even though transaction fees on the Ethereum network have fallen to two-year lows. Despite this, the cost of transactions on Solana is still meager compared to Ethereum, making it appealing to users. It also means that Solana is better for small transactions. Because users do not have to worry about paying more in gas fees than they are actually moving across the blockchain.
Solana transaction figures for the previous week totaled around 630,000. While Ethereum’s were less than 500,000, Solana transactions outnumbered Ethereum’s by more than 30 percent over the last seven days.
The Sol blockchain is not the only one giving Ethereum a run for its money in terms of transaction volume. Solana has been gaining market share in the NFT space as it expands. This is made possible by the NFT marketplace, Magic Eden, which has grown in popularity due to several successful SOL launches, including the DeGods and Okay Bears collections.
This has attracted more project creators to the network. Its community is expanding, thanks partly to the lower gas fees required for minting on Solana. Despite the bear market and drop in NFT volume, SOL NFT transactions outperform Ethereum for the previous month.
However, the price performance of the two digital assets has not been encouraging. SOL has lost 11% of its value in the last 7 days, while ETH has lost 7.40% in the same period. Although there has been some recovery in the previous 24 hours, SOL and ETH still have a long way to go before reaching their last all-time highs.