Sygnum, a crypto banking group, has expressed skepticism about Solana's potential to surpass Ethereum in the medium term. The group's analysis highlights concerns over Solana's revenue being overly dependent on memecoins, making its financial stability questionable. Despite Solana leading in transaction volumes and fee generation, Sygnum notes the real determining factors will be the choices made by traditional financial institutions regarding their platforms. They assert that Ethereum continues to hold an edge in security, stability, and longevity, features that are highly valued. Additionally, while Solana has made strides in decentralized finance, achieving more value locked in protocols, Sygnum believes it needs to diversify its revenue sources beyond memecoins to compete effectively. The company recognizes positive developments in Ethereum’s use cases, improved market sentiment, and a foundational shift that may benefit Ethereum, especially after a prolonged period of underperformance compared to Solana.

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