The crypto venture firm Pantera Capital suggests that Ethereum is losing ground as Solana emerges as a significant player in blockchain development.

Pantera Capital, a crypto venture capital firm managing billions in assets, is reportedly considering purchasing millions worth of SOL from the bankrupt FTX exchange. This move highlights Solana’s growing potential compared to Ethereum.

In a Jun. 18 newsletter, the Menlo Park-headquartered venture capital firm noted that Ethereum’s dominance is giving way to a “multi-polar model,” with Solana gaining a significant share over the past year. Pantera Capital compared this shift to Microsoft’s early dominance in the desktop computer market, which Apple disrupted with its vertically integrated approach. According to Pantera, Solana is now a major contender for future blockchain development.

“Solana’s integrated approach is reminiscent of Apple’s strategy with macOS, focusing on optimizing every component of its blockchain.”

Pantera Capital emphasized Solana’s architectural advantages, which enable a variety of use cases and user experiences that may be challenging to implement on modular blockchains like Ethereum and Cosmos. Solana’s fast, low-cost transactions are seen as a key factor in its growing popularity.

“Solana’s architectural advantages are enabling it to capture an outsized share of the new demand coming into the blockchain space, accelerating its ascent as a rival to Ethereum.”

The firm’s endorsement of Solana follows reports that Pantera Capital was among the bidders for SOL tokens auctioned by FTX during its bankruptcy proceedings earlier this year. Although the precise amount acquired hasn’t been disclosed, reports indicate that Pantera Capital was interested in purchasing SOL tokens worth up to $250 million.

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