Can Solana (SOL) Truly Become Visa of Crypto World? Find out!

Can Solana (SOL) Truly Become Visa of Crypto World? Find out!
  • Visa claims theoretically to handle at least 24,000 TPS.
  • Against ETH, SOL gained almost 2,200% last year.

With a market capitalization of $291 billion, Visa has surpassed JPMorgan Chase as the most valuable financial services company in the world. The world’s biggest credit card network was likened to a cryptocurrency by Bank of America, a well-known American bank. 

According to Bank of America global crypto and digital asset strategist Alkesh Shah’s research report released on Tuesday. Solana was likened to become and dominate the crypto space similar to Visa in credit card networks.

Shah said:

It’s possible that “Solana could become the Visa of the digital asset ecosystem.”

According to the researcher, over 400 decentralised apps are included in the Solana network, including P2P exchanges and NFT markets.  Blockchains have long been likened to credit card networks in transactions per second (TPS). Visa claims theoretically to handle at least 24,000 TPS, while it is closer to 1,700 TPS in practice. Ethereum’s TPS (transactions per second) is often cited as 15. Due to the need for decentralised apps that are constantly “on-chain,” this number is fairly tiny. Due to the network’s low capacity, transactions may be costly, often in double-digit dollars.

Read More: Ethereum Price Prediction

ETH Overshadowed By SOL

Even while Ethereum had a great year in 2021, it was overshadowed by Solana’s success. Against ETH, SOL gained almost 2,200% last year, and its native blockchain has emerged as one of the main candidates for the smart contract throne.

Read More: Solana Price Prediction

Even though Ethereum is more decentralised, Shah believes that it is not scalable enough, which raises transaction fees. To put it another way, the expert feels that scalability is a reasonable trade-off. Thus, paving the way for a scalable and cheaper option, Solana.

Content writer by profession. A crypto lover and has passion for writing. Follows the developments of digital currency right from its launch, years ago.