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- Solana surpasses Ethereum in terms of transaction volume by over 30% in a 7-day period.
- Even though transaction fees on Ethereum are at the lowest in two-year, the transaction fees on Solana are still comparatively way lower than Ethereum.
- Solana is also taking up a large share in the market.
Even before the onset of historic crypto winter, Solana has slowly been catching up on Ethereum. The network has become popular among non-fungible token (NFT) and decentralized finance (DeFi) users who are abandoning Ethereum because of its high cost of transacting on the network. However, Ethereum still successfully managed to stay ahead of Solana. But now, Solana has moved forward.
Transaction Fees On Ethereum Reaches Two-year Low
The volume of transactions on the network is one area where Ethereum has maintained its dominance. However, transactions on the Solana network have outperformed its counterpart on the Ethereum blockchain, replacing it as the smart contract network with more transactions.
Meanwhile, the transaction fees on Ethereum have come down to a two-year low; however, as compared to Ethereum, the cost of transaction on Solana remain far low, being a magnetic force attracting users. Cheaper transaction fees also make Solana better for performing small transactions taking into account since there is no stress of paying more gas fees amount than actually moving across the blockchain.
As recorded last week, the total transactions performed on Solana were recorded to be 630,000. On the other hand, Ethereum’s transaction figures were even less than 500,000, which means Solana has outperformed Ethereum by over 30% in the span of just a week.
Who’s Ahead In NFT Game?
Interestingly, Solana is outperforming Ethereum in various other ways. With the rise of NFTs, Solana is taking up a bigger market share. Magic Eden, an NFT marketplace, has made this possible. Magic Eden has become popular due to several successful SOL launches such as Okay Bears collections and DeGod.
This development has attracted project founders to the network. Due to the lower gas fees needed for minting on Solana, the community is ever-increasing. For the last month, the transactions are recorded to be higher for Ethereum even with the bear market and drop in NFT volume.
In terms of performance also, the tokens aren’t doing very well. The 7-day statistics revealed that SOL and ETH had experienced a decline of 11% and 7.40%, respectively. Both the tokens trade way below their ATHs.
Steve Anderson is an Australian crypto enthusiast. He is a specialist in management and trading for over 5 years. Steve has worked as a crypto trader, he loves learning about decentralisation, understanding the true potential of the blockchain.
