Will Solana Overtake Ethereum? Sam Bankman-Fried Weighs In
The richest man in crypto claims that meme cycles could be your single most important investment strategy
FTX cofounder Sam Bankman-Fried didn’t rule out that Solana could possibly overtake Ethereum during his appearance on Kitco:
It could happen. It could never happen.
The richest crypto billionaire says that Ethereum’s native token could see broad institutional adoption even if the underlying blockchain fails to achieve the same feat.
At the same time, he called attention to composability concerns surrounding Ethereum 2.0. While the second-largest blockchain will be able to significantly boost its throughput capacity with the help of sharding, synchronous operations will become a problem.
Since there won’t be native composability, DeFi applications could have no choice but to move to the same shard.
Bankman-Fried also claims that Solana could be disrupted by another competing blockchain.
Solana has vastly outperformed Ether this year, becoming the fifth-largest cryptocurrency by market cap.
Memes are important
When asked about specific criteria that people have to look at when picking a specific cryptocurrency project, Bankman-Fried said that investors have to follow meme cycles:
Memes are f***ing important…They drive the market.
However, the crypto mogul, whose net worth is estimated to be $22.5 billion, cautioned his audience that meme stocks and meme coins tend to be risky.
Meme coins of the likes of Dogecoin and Shiba Inu reigned supreme this year, generating jaw-dropping returns.
However, the Squid Games coin scam, which robbed its holders out of millions, also showed the ugly side of joke cryptocurrencies.
Sam Bankman-Fried urges buyers to never invest more than they are willing to lose:
No matter what you are investing in, it could actually go down by 90%.
