© Reuters.
Investing.com – The cryptocurrency is by far the best performer in the top 10 on Thursday, posting a 24-hour gain of more than 8%, and back above the key $150 threshold, part of a broad rebound of the crypto market, but also with the help of a glowing analytical rating from the prestigious Bank of America (NYSE:).
The BoA indeed believes that the Solana blockchain could become the “Visa (NYSE:) of the digital asset ecosystem” as it focuses on scalability, low transaction fees and ease of use.
Solana has seen strong adoption since its launch in 2020. It has settled over 50 billion transactions, has over $11 billion in total value locked, and has been used to mint over 5.7 million non-fungible tokens ( NFT), analyst Alkesh Shah wrote in the note released on Tuesday.
Solana is optimized for consumer use cases such as micropayments and gaming, the bank said.
“Solana prioritizes scalability, but a relatively less decentralized and secure blockchain has trade-offs, exemplified by several network performance issues since its inception,” Shah said.
“prioritizes decentralization and security, but at the expense of scalability, which has resulted in periods of network congestion and transaction fees that are sometimes greater than the value of the transaction sent.”
Thus, Bank of America said Solana and other blockchains could take market share from Ethereum over time, a view shared by many crypto experts, and anticipation that has been the main driver of the explosive rise in Ethereum. more than 4000% of the Solana in 2021.
Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.