Joe McCann, the CEO and CIO of the crypto hedge fund Asymmetric, lately made a daring statement on X (previously Twitter), forecasting a $1 trillion marketplace cap for Solana. McCann’s argument hinges on a number of key issues that element why he believes Solana has completed product-market are compatible (PMF) as “The Chain for Retail,” juxtaposing it towards Ethereum’s demanding situations and perceived shortcomings for retail customers.

Solana Beats Ethereum

McCann evaluations Ethereum for now not being designed with retail in thoughts, declaring its sluggish and dear Layer 1 (L1) transactions, along the consumer revel in (UX) nightmare posed through its a lot of Layer 2 (L2) answers. He states, “Ethereum is not a chain designed for retail – the L1 is too slow and expensive and the L2s are (currently) a UX nightmare.”

The friction for brand spanking new customers, fragmented liquidity throughout over “40 L2s”, and the headaches with bridging are highlighted as vital obstacles to Ethereum’s adoption through a broader retail target market.

Turning his consideration to corporate-backed open-source tasks like Coinbase’s L2 answer, Base, McCann recognizes their doable to resolve some UX problems. However, he additionally notes the inherent precedence of such tasks to serve company pursuits, ceaselessly on the expense of broader neighborhood wishes.

Despite his critique, he admits, “Most corporate open source ultimately ends up serving corporate priorities…and it should!” This acknowledgment underscores the complexity of balancing company involvement in blockchain construction with the ecosystem’s decentralized ethos.

McCann attributes Solana’s upward thrust to its talent to serve the retail phase successfully, specifically via its affiliation with memecoins and speculative buying and selling. Describing Solana as initially being “Blockchain at Nasdaq speed” for its top throughput and coffee latency, he notes a pivotal shift in its narrative in opposition to retail.

He observes, “Not once has the concept of being The Chain for Retail™️ ever surfaced. Until now.” This shift is in large part credited to Solana’s embody through the memecoin neighborhood and the speculative buying and selling that follows, marking a transparent PMF with retail customers.

Highlighting the explosion of memecoin hypothesis on Solana, particularly post-NFL season, McCann issues out, “Since the NFL season ended, speculation on memecoins has exploded…BONK and WIF are on Solana. […] Thousands of them are being created everyday and trading volumes are exploding.”

The intensive introduction and buying and selling volumes of those cash on Solana are noticed as a testomony to its attraction and application for retail speculators. Notably, nearly all of memecoins is on Solana, now not Ethereum.

”Trading Bots aka the ‘Robinhood-ification of crypto’ has been riding nearly all of the buying and selling because of its…nice UX. […] And nearly all of the ones bots are buying and selling memecoins on Solana. Solana is now persistently flipping Ethereum in DEX volumes but for some explanation why, SOL remains to be 1/4th the worth of Ethereum, it used to be 1/eighth only some days in the past,” McCann famous.

He contrasts Solana’s marketplace cap with Ethereum’s, the use of their relative valuations to argue for Solana’s enlargement doable. With Ethereum valued at slightly below $500 billion and Solana at about $115 billion, he means that Solana’s trail to a $1 trillion marketplace cap represents a just about 10x enlargement alternative, a long way outpacing the potential of Ethereum.

“ETH to $1T is a double. SOL to $1T is nearly a 10x. Which horse are you gonna bet on? The fastest one, obviously,” McCann concludes, encapsulating his bullish outlook for Solana in keeping with its retail-friendly ecosystem and the colourful job round memecoins.

At press time, Solana traded at $201.27.

Featured symbol from Euronews, chart from TradingView.com

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