Originally published on: October 04, 2024
VanEck’s latest “Crypto Monthly Recap” highlights the impressive performance of monolithic blockchains in September. These networks, which boast a unified architecture integrating different layers, saw substantial gains compared to their modular counterparts.
Solana, Sui, and Aptos stood out with impressive price hikes of 14%, 118%, and 23%, respectively. Sui’s remarkable performance was fueled by a 140% surge in daily active addresses, propelling its market capitalization beyond $5 billion.
Aptos, on the other hand, benefited from a recent Raptr software upgrade, leading to a 30% increase in daily active addresses month-over-month. These growth figures underscore the promising potential of monolithic blockchains.
Compared to modular chains, monolithic blockchains like Solana and Sui offer higher throughput and more cost-effective transactions. This makes them appealing platforms for small payments, asset tokenization, and NFT minting.
As VanEck’s research highlights, the migration of users from Ethereum to these faster chains is reshaping the market landscape. Ethereum has faced challenges in maintaining its dominance, with newer competitors offering lower fees and faster transaction speeds.
For instance, Sygnum Bank’s report underscored Solana’s emergence as a formidable payment network, poised to challenge Ethereum’s position. The flexibility and efficiency of monolithic blockchains like Solana have captured the attention of investors and users alike.
In a market driven by speculation, the allure of faster, more cost-effective transactions is undeniable. This trend has contributed to Ethereum’s subdued performance in 2024, as users seek alternatives that offer greater efficiency and scalability.
As the crypto landscape continues to evolve, the success of monolithic blockchains in September serves as a testament to their growing popularity and potential to redefine the industry.
