GSR says Solana brush
+8.22%
“Continuing to stand apart from the crowd”, he is now investing in cryptocurrencies for a long time.
In a note released Thursday, GSR spoke about Solana’s “outstanding technology” and why the spot Solana ETF could be next on the list after the launch of the spot Bitcoin ETF in January and the expected launch of the spot Ethereum ETF later this summer. Promoted the changing American political environment. .
The memo came on the same day that fund manager VanEck filed for an exchange-traded fund that tracks the stock. Solana.
“(C)hange is already receiving renewed support for the cryptocurrency industry from Donald Trump, which has forced Democrats to loosen their stance on digital assets in a tight election year,” GSR analysts wrote in the report.
“And while the current legislative and regulatory framework is unlikely to adopt rules that would allow for the launch of a large number of spot digital asset ETFs, the Trump administration and progressive SEC commissioners could do exactly that,” they continued, adding that the “digital asset market structure bill that defines the products.”
Solana joined due to its market demand and decentralization. Bitcoin 
BTC
+0.54%
Ethereum in the spot ETF market, according to GSR’s scorecard for determining these characteristics. Ethereum took first place by a wide margin, followed by Solana. Solana surpassed the next closest digital asset, Near, by a wide margin.
Source: GSR
GSR also presented three key reasons why Solana’s technology provides a competitive advantage, starting with Solana’s historical proof.
“Similar to how cell towers take turns transmitting to avoid noise, proof-of-history offers tremendous speed and scalability advantages by allowing validators to generate blocks when it is their turn without the network having to first agree on the current block. offers,” the company said.
Second, GSR allows Solana to “substantially increase throughput through parallel transaction processing as well as leverage a major source of computing speedup. Today, most of the benefits come from adding more cores rather than just improving the performance of each core.” “It comes from doing it,” he said.
Finally, GSR noted that Solana’s historically high hardware and bandwidth requirements optimize speed and security at the expense of decentralization, but “as costs fall over time, it is certainly positioned to benefit, perhaps even through blockchain.” Our vision is to be the first company to truly solve the trilemma and ultimately achieve our goal: to synchronize global conditions at the speed of light.”
SOL Could Surpass BTC
Regarding the impact on SOL, GSR noted that BTC has risen from $27,000 in October (i.e., “when market participants began to acknowledge the real possibility of US spot ETF approval”) to its current price of around $63,000. – 2.3 times increase.
According to GSR’s analysis, “Solana could increase by 1.4x in a bearish scenario, 3.4x in a baseline scenario, and 8.9x in a blue sky scenario.” “Furthermore, unlike BTC, SOL is actively used for staking within decentralized applications, and the relationship between relative flow and relative size may not be linear, so there is reason to believe that the impact could be higher than these estimates.”
SOL surged more than 6% on the VanEck news and is up about 7.7% in the past 24 hours, according to The Block’s Solana pricing page. Solana’s market capitalization is approximately $68 billion at the time of publication.
Update: This article has been updated to no longer say this is the first time a GSR spokesperson has shown interest in the token in a long time, after correcting a previous statement.
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