Ethereum Co-Founder Calls Solana Unsustainable: It's A 'Fake It Until You Make It' Business Model

Ethereum Co-Founder Calls Solana Unsustainable: It's A 'Fake It Until You Make It' Business Model

CEO of ConsenSys and formerly a co-founder of Ethereum ETH/USD Joseph Lubin has criticized Solana SOL/USD, and says he thinks the economic model of paying out validators “disproportionate rewards” is unsustainable.

  • During a recent interview, Lubin said that Solana needs to come up with a more sustainable business model and projects like Solana “either fake it until they make it, or they die.”  
  • Lubin said, besides the issue of its economic model, Solana has also faced its fair share of bottlenecks. He notes that there have been numerous times the chain has gone down due to spam attacks, which Lubin says also has a direct relation to the fee structure. 
  • Meanwhile, Solana hit back at Lubin’s comments. The crypto's developers said that looking at revenue doesn’t accurately predict the long-term performance of a blockchain’s economic model.
  • Ethereum’s market share has gone from almost 100% dominance in 2020 to just above 54%, and it has been a downward trend the entire time.

Price Action: On Sunday, Ethereum was priced at $2,893.52, down 2.15% in 24 hours. Solana, meanwhile, was down 0.99% in a 24-hour period, priced at $90.36.

Also Read: Best Of Both Worlds? Coinbase Adds Support For Solana

Photo: Courtesy of Duncan Rawlinson on Flickr

Posted In: CEOConsenSysEthereumJoseph LubinSolanaCryptocurrencyNewsTop StoriesMarketsGeneral

Visit Benzinga's Crypto Homepage - 1,000,000+ depend on Benzinga Crypto every month