When it comes to non-fungible tokens, also known as NFTs, most investors prefer Ethereum as their preferred option. It already has 95 percent of the tokens in circulation on its blockchain. On the other hand, despite being a newcomer to the market, Solana has managed to wow investors with its smart contracts, one-of-a-kind functionalities, and cutting-edge technology.
A significant increase in the number of NFT transactions on Solana during the last week makes it a potential competitor to Ethereum. Magic Eden is the NFT marketplace on Solana, which was one of the factors contributing to the rising transaction volume on the network that the alternative cryptocurrency uses.
However, its price started increasing again, and people discovered that it had increased by 10 percent in value overnight. In a monthly report to the community, the creators of Solana said that investment is now concentrating heavily on DAO, namely Athens DAO.
Many crypto enthusiasts believe Solana is the ideal candidate for governance and cost-effective transactions. In addition, the charges for doing transactions on Solana are far lower than they are on Ethereum. Because of this, the network of the alternative cryptocurrency has seen a significant volume of NFT transactions.
Solana comprises the feature of smart contracts, which is a public blockchain platform. Anatoly Yakovenko published a white paper in which he advocated the creation of a cryptocurrency known as SOL. This coin was launched in November of 2017. The method detailed in the article is referred to as “evidence of history.”
Solana has a higher volume of non-fungible token transactions than Ethereum
OpenSea, a peer-to-peer marketplace, is one of Magic Eden’s competitors. Magic Eden is the most recent NFT marketplace on Solana. Its rapidly expanding status has resulted in a significant transaction volume on the blockchain of the alternative cryptocurrency.
In the preceding week, there were around 360,734 transactions on Magic Eden. According to the data provided by DappRadar, the total number of transactions on the platform has already topped $1.6 billion. The amount of transactions in decentralized exchange currencies and network-based tokens has significantly decreased in recent times on the market.
Even so, Solana is the greatest Ethereum in this terrible cryptocurrency market. When the last week is considered, Ethereum has completed only a hair under 500,000 transactions.
On the other hand, there were 630,000 transactions Solana. Compared to Ethereum, the activity level on Solana was 32.6 percent greater. However, the total value locked on the altcoin is somewhat lesser.
When the results for May 2022 are considered, it is clear that both the Ethereum and the Solana networks have suffered losses. Despite this, the number of transactions conducted on Solana surpassed that of Ethereum with the introduction of Magic Eden.
Is Solana the optimal choice for DAOs?
Grape, a decentralized protocol, had a Hacker House event, during which developers determined that Solana is an ideal choice for DAOs. The decentralized autonomous organization is what “DAO” refers to in this context.
Grape relies heavily on the contributions made by Dean Pappas. According to him, for individuals to effectively test government and conceive new ideas, they need relatively inexpensive transactions. These dealings must take place fast, and the customer must have a positive overall experience.
When the price of Solana skyrockets, the market sees overnight gains in the double-digit percentage range. The cryptocurrency specialists working at More Crypto Online predict that its price will soon begin an upward trend. As soon as the price breaks through the $42.80, the next level of $48.41 may become its objective. After the altcoin has passed two bullish objectives, there may be a massive breakout in Solana, as stated in the prognosis made by experts.