Difference Between Ethereum and Solana
Here we will see the difference between Ethereum and Solana. The following topics will be discussed here:
- Introduction To Ethereum.
- Introduction To Solana.
- Ethereum vs Solana.
- Is Solana or Ethereum More Popular?
- Which one is Better – Solana or Ethereum?
Let’s discuss each of these topics in detail.
Introduction To Ethereum
- A smart contract’s function is that it allows participants to transact with one another without any central authority.
- These transaction records have properties like being immutable and securely distributed across the blockchain network, which means it gives participants full ownership and visibility into transaction data as it is verifiable.
- Ethereum accounts created by the user can make transactions like sending and receiving.
Introduction To Solana
Solana is an open-source project which was founded in 2017 by Anatoly Yakovenko and is run by Solana Foundation which is based in Geneva.
- Solana is a blockchain network designed to host decentralized and scalable applications.
- Solana as compared to most of its rival blockchains like Ethereum, Bitcoin, etc. is much faster in terms of the number of transactions it can process and has significantly lower transaction fees as well.
- SOL is the native cryptocurrency of Solana, which can be used for staking and paying transaction fees.
Ethereum vs Solana
Below are some of the differences between Ethereum and Solana:
|Launch Date||Vitalik Buterin initially described Ethereum in 2013.||Solana was first described in the year 2017 by Anatoly Yakovenko.|
|Blockchain Protocol||Ethereum is dependent on the Proof of Work (PoW) which is a decentralized consensus mechanism.||Solana uses the Proof of History (POH) mechanism which is a creation of Solana|
||The Ethereum blockchain network’s native token is Ether (ETH).||The Solana blockchain network’s native token is Solana (SOL).|
|Use case||Most impactful projects on the Ethereum blockchain consist of Uniswap, Aave, and Decentraland||The most impactful projects on the Solana blockchain are Star Atlas, Serum, and Audius.|
|Transaction Speed||Ethereum offers 12-25 TPS within six minutes of confirmation time.||Solana offers 65,000 TPS and a theoretical limit of 710,000 TPS in the future.|
|Transaction costs||The average ETH transfer fee is around US$2.90 per transaction.||On Solana user needs to pay as low as $0.00025 per transaction.|
|Transparency||All the data is transparent and available to be traced by anybody but confidential data is stored on the blockchain in an encrypted format.||Solana Foundation issues transparency reports every month for token activity transparency.|
|Market Capitalization||As of today, the current Ethereum Market Cap is at a current level of 136.64 Billion USD.||The current Market Cap of Solana is around $12.8 Billion.|
|Network Size.||The total number of developers on Ethereum in 2020 was 2,980, and 3,920 in 2021.||Solana has around 1,000 developers working on its network.|
Is Solana or Ethereum More Popular?
The number of developers is surely more on Ethereum as compared to that on the Solana blockchain network. The number of noticeable projects on Ethereum is also way more the Solana but as Solana is faster and cost-effective the numbers may change in the future one should also consider Ethereum is more secure as compared to Solana and also it is planning to change its consensus protocol from Proof-of-Work(PoW) to Proof-of-Stack(PoS).
Which one is Better – Solana or Ethereum?
Looking at the speed Solana provides for the completion of transactions we can say it is very fast when we compare it to Ethereum and also it cost considerably low compared to Ethereum. One more problem with Ethereum is that its current consensus protocol requires too much computational power which is not the case with Solana. on the other hand, Ethereum is more secure than Solana also the community for Ethereum is better compared to Solana.