The US crypto billionaire Sam Bankman-Fried expects a lot more from Solana than from competitor Ethereum. You can find out why this is so here!
The crypto billionaire Sam Bankman-Fried of the famous crypto exchange FTX predicts a bright future for Solana. He suspects that the competitor to Ethereum with its “superior” blockchain will be the largest platform for decentralized apps in the future.
Solana’s scalability makes the difference
In an interview with a North American news portal, Bankman-Fried gives his opinion on various questions about the world of cryptos. The American founded the FTX crypto exchange in 2019 and has made billions since then. He is ranked 32nd among the wealthiest Americans.
He sees the technology behind the Solana blockchain as the basis for huge potential. This can easily be scaled to several million transactions per second.
This property trumps many competitors and could cause the Solana token (SOL) to rise sharply.
One of its most compelling qualities is that blockchain can grow the way it’s needed when blockchain goes through the roof.
Solana can provide decentralized applications for hundreds of millions or even billions of people. Solana also has an ecosystem that adapts to the necessary conditions.
Sam adds “it can happen, but it doesn’t have to”.
Sam Bankman-Fried warns of hypecoins
Sam warns potential investors about cryptocurrencies that are freaking out. Often these cryptocurrencies fall the most. He’s alluding to coins like Squid Game, which get their popularity through social media.
Users should pay particular attention to whether the makers of a cryptocurrency remain anonymous. In addition, if a large percentage of the currency is in the hands of a few people, it is better to be careful.
The FTX founder differentiates between Hypecoins and those projects that score with fundamental values. In addition to a functioning and used ecosystem, this also includes partnership, community, and the founders’ expertise.
Price drops in Solana and Altcoins inevitable
Even so, fluctuating rates in cryptocurrencies are inevitable, added the managing director of FTX. Altcoins with their own blockchain and scale well have the best chances of survival in the long term. As the use of blockchains increases, good scaling is essential.
He expects the entire crypto market to grow rapidly over the next 5 years. From then on, this would be driven by institutional investors. New companies thus also bring large capital into the crypto industry.
FTX itself has already leaped into big business. In 2021, the company will invest hundreds of millions of dollars in advertising. Among other things, she advertises in Formula 1 with football player Tom Brady or in e-sports with Team SoloMid.