Fidelity’s Bold Take: Why Ethereum Crushes Solana in the Smart Contract Race

Wall Street's crypto darling picks sides—and it's not even close.

Ethereum's network effects and developer moat leave Solana playing catch-up, according to Fidelity's latest crypto deep dive. The institutional giant highlights ETH's battle-tested security, sprawling DeFi ecosystem, and imminent scalability upgrades as unbeatable advantages.

Meanwhile, Solana's 'speed at all costs' approach keeps hitting snags—just ask the traders who enjoyed its 11-hour outage last quarter. (But hey, at least the VC backers got their Lambos.)

The verdict? In the battle for blockchain supremacy, Ethereum's playing chess while the competition's still learning checkers.

Ethereum To Remain On Top Of Solana?

Solana’s (SOL) speed and low transaction costs have consistently aided the network’s growth. Fidelity has also highlighted the network’s strong suits.

Despite its bullish outlook, the financial institution has pointed out SOL’s reliance on short-term trends, unlike ethereum (ETH). Memecoin projects are one of the hottest things on the SOL network. Memecoins often garner short-term gains and don’t drive much investor sentiment. Fidelity notes how the memecoin market only booms during bull cycles and fades out under bearish conditions.

Fidelity states, ““

According to Fidelity, Ethereum’s (ETH) fundamentals are less in tandem to speculation. Its robust fundamentals make it a more stable project than Solana (SOL).

There is a possibility that Solana (SOL) could overshadow Ethereum (ETH) in the future. The project is yet to launch its Firedancer upgrade. The upgrade aims to greatly enhance scalability. According to reports, the upgrade will increase SOL’s number of transactions per second to close to one million TPS (transactions per second).