Joseph Lubin, the founder of ConsenSys and co-founder of blockchain platform Ethereum, has recently claimed some Ethereum alternatives have unsustainable models. In response to Lubin’s dissenting voice, Solana said that it was infeasible to predict the future of a blockchain just based on a single metric. It is also worth noting that Lubin’s company sells crypto tools for investors to engage in the Ethereum blockchain.
Lubin doubts Solana’s sustainability
Ethereum, though one of the most commonly used digital ledgers, is encountering great challenges. One of its key rivals, Solana, is pitching itself as the best alternative to Ethereum owing to its quicker transaction speeds and lower transaction fees.
According to Lubin, Solana is giving excessive incentives to users who authenticate transactions on the network compared to the revenues earned by these transactions. He felt that this network needed to devise a more sustainable business model. “That’s natural,” he said. “All the projects in our ecosystem essentially fake it until they make it, or they die.”
Lubin is not the only one who casts doubt on the fast-growing blockchain project. Previously, some critics have pointed out that Solana jeopardises security for the sake of efficiency. It sacrifices some decentralisation, a crucial pillar of the blockchain technology, making it more prone to outages and putting paid to user experience, perception, and adoption.
What Solana hits back at Lubin
Lubin’s remarks come when cryptocurrencies receive mainstream attention and tech investors added a large amount of cash to more efficient Ethereum competitors such as Solana, Avalanche, and Near ProtocoL. However, Ethereum has still taken the lead in the decentralised financial sector, and the majority of non-fungible tokens are developed on top of Ethereum.
In reaction to Lubin’s remarks, Solana voiced that just looking at protocol revenue is not enough to reliably forecast the long-term viability of a blockchain’s economic model.
