Is SOL Taking on Ethereum (ETH)? Solana-based Oracle Network Pyth Continues to Add Big Names
A Bernstein report notes that while Ethereum is “an organic, cultural movement,” FTX’s backing provides Solana a “strong edge.”
Pyth Network, an oracle solution, has now partnered with Chicago Trading Company (CTC), a leading provider of liquidity and pricing on derivatives exchanges around the world.
Quant trading firm from 1995, CTC is a major player in equities, interest rates, and commodities markets and will now publish cryptocurrency prices to the Pyth Network. This is just the first step which will be expanded to include equities market data as well.
Pyth aims to deliver HiFi data feeds that are guarded by “some of the largest organizations in the world” to Dapps to accelerate the growth of decentralized finance.
The project has bagged several big names as its partners to provide DeFi participants with institutional-grade market data.
These partners include crypto exchange FTX, which ranks at the “4th spot among crypto exchanges in trading volume.”
“They’re leveraging the power of Solana and other major blockchains to fill the need in the market for a precise, high performance solution for making financial data available publicly,” said Sam Bankman-Fried, founder and CEO of FTX at the time.
Before FTX, Pyth Network partnered with Genesis Trading, a subsidiary of Barry Silbert’s DCG, and has US equities data streaming in from big names like Virtu, GTS, and Jump Trading.
According to Pyth Network, such powerful partnerships are made possible thanks to “ultra-fast, high-throughput, and low-latency blockchain” Solana.
Solana is emerging as a competitor to Ethereum (ETH), whose native token SOL is famous for being the most resilient in terms of recoveries.
A $9.5 billion market cap token, SOL is currently trading at $35.46, down 39% from its all-time high of $58 hit two months back but still up 1,790% YTD.
In a report dated July 6 from Bernstein titled “Crypto Strategy: Blockchain Wars – Is Solana Taking on Ethereum?” It noted that Ethereum scalability issues coincide with the rise of the Solana blockchain, which is geared towards solving this issue.
While Ethereum is “an organic, cultural movement,” Solana’s single-layer scalability is a differentiator, it read.
Additionally, its FTX backing provides it a “strong edge.” FTX’s leading investing and market-making unit Alameda Research, its strong trader base, and marketing muscle are advantages for Serum (SRM) and Solana, it says.
However, blockchain wars shouldn't be seen as “winner-take-all,” and they could evolve like nation-states with their own advantages, history, and culture, concluded the report.