Some digital contract-based digital currencies that somehow compete with Ethereum have performed very well in the past month, but which altcoins have a chance to become Ethereum’s main competitor in the future?
to the Report Daily Hoodel Over the past 30 days, a group of digital currencies based on smart contracts have seen significant price growth. To answer the question of whether any of these platforms have the potential to compete with Ethereum in the future, China Glassnode has published a paper examining various criteria.
The digital currencies Avalanche, Solana and Luna have risen significantly over the past month, rising 292.9%, 212.2% and 191.4% respectively.
Glasnood began his discussion with the issue of increasing interest in Olench and Solana and said:
Alternative smart contract platforms [اتریوم] Like Olench and Solana for a set of activities and investing in connectivity with other blockchains [سرمایهگذاران] Have been attracted and the tokens of these platforms have increased in price in the last 30 days.
Glasnood also noted that DeFi-focused projects in the Olench ecosystem had limited liquidity until earlier this month, when the Olench Foundation announced the launch of a $ 180 million incentive program. .
The Olench Foundation initially allocated $ 27 million to users of the Aave Lending Protocol and the Curve Decentralized Exchange. The liquidity of Olench Decentralized Finance Protocols has increased day by day since the announcement of the $ 180 million incentive program, Glasnood said.
Glenswood said Olench’s liquidity seems relatively limited. The Blockchain Analysis Company added:
Olench network projects are known as copies of projects active in the Ethereum network. Recent growth has been related to incentives and increased returns, it is likely that [این رشد] Be sustainable in the long run and [از طرفی دیگر] It may not be stable.
According to Glasnood Solana, during this time, the focus has been on launching new DIF protocols, and this has led to the growth of the digital currency ecosystem. The Solana network can process 50,000 to 65,000 transactions per second and is therefore highly scalable.
“The growth of Solana’s ecosystem is still very limited compared to Ethereum,” he said.
There are only 4 projects in the Solana network with a total value of locked capital of more than $ 100 million. [این تعداد] Compared to Ethereum, which has more than 60 projects with a total value of locked-in capital of over $ 100 million [بسیار ناچیز است]. Solana is clearly offering more attractive options for projects that require more scalability, yet it is not currently able to compete with Ethereum in terms of liquidity.
Glasnood said Terra, Luna’s digital currency network, has shown significant signs of acceptance in some of its protocols. The total value of locked-in capital in Anchor Protocol, the largest defa protocol on the Tera network, exceeds $ 3.4 billion.
Terra, like Olench and Solana, has not yet been able to increase the number of protocols with a capital value of more than $ 100 million to more than five.
Glasnod wrote in his article:
While the price of tokens related to alternative protocols based on smart contracts [اتریوم] There has been significant growth in recent weeks, with the liquidity of these networks being more limited than that of Ethereum.
If Ethereum fails to address the scalability of its network, most users will migrate to alternative platforms, Glasnood says.
Blockchain Analysis Company said:
Because some users are looking for newer and more innovative blockchains, developers need to evaluate the longevity and longevity of users and the capital that enters or leaves Ethereum.
Due to the competition for user engagement, attention and capital increase, many developers and protocols may [با یکدیگر] They exchange capital and may even find untapped value and opportunities in designing a protocol. But if second-tier solutions fail to address Ethereum scalability or provide a difficult user experience, users will naturally be drawn to alternative networks.