Solana vs. Near: Which is BEST!? Complete Comparison!!

When you research cryptocurrencies for Long enough you start to realize just How similar some of them are and what This could mean for the competition Between them Solana and near protocol are two Cryptocurrencies with no shortage of Similarities and given how much Institutional interest each one has Attracted the competition between them Is likely to intensify That’s why today I’m going to size up Two of the most promising smart contract Cryptocurrencies out there and tell you Whether it’s Soul or near that will win The hearts and wallets of institutions [Music] Before we throw these cryptos in the Ring I need to tell you something Financial advice is not something I Fling education and entertainment are The only things I bring please contact a Financial advisor if your portfolio Makes you cringe also note that Sol and Near are both a part of my spaceship Wings to make sure I reach the moon Regardless of which one wins Now if this is our first encounter my Name is guy and some call me the crypto Master that’s because I create high Quality crypto content that makes Central banks all flustered coins tokens News and reviews on this channel you’ll Find whatever it is you’re after

If you feel that fiat currency is a Disaster subscribe to the channel and Ping that notification Bell to help Crypto rise faster Okay that’s all you need to know about This broadcaster it’s time to throw Solana and near protocol in the ring and See which one’s going to blast off Okay let’s start with the founders so Solana was founded in 2017 by Anatoly Yakovenko Anatoly holds a bachelor’s in computer Science and he spent most of his career Working as a senior software engineer at Qualcomm creating some of the core Technologies used in every mobile phone Solana is named after a beach close to San Diego California where Anatoly was Working at Qualcomm he came up with the Idea for Solana during a quote Caffeine-induced fever dream wherein he Realized that bitcoin’s sha-256 hash Function could be used to timestamp Transactions Anatoly created Solana to compete with Centralized stock exchanges such as the NASDAQ which can process hundreds of Thousands if not millions of Transactions per second This is why Solana is so fast and it is Technically the fastest cryptocurrency On the market more on that in a moment Near protocol was founded in 2018 by Ilya polisukin and Alexander skidanov

Holds a masters in computer science and Spent most of his earlier career working As a software engineer for various tech Companies including Google where he Focused on machine learning technologies That are now used as part of Google Translate Alexander also holds a masters in Computer science and spent most of his Early career working at mem sequel where He served as director of engineering for Over three years for your information Mem sequel is a cloud computing platform And database similar to Amazon web Services Now Ilya and Alexander met through the Famous y combinator startup accelerator And found it near protocol which began As an AI Focus project in 2017. The slogan was something along the lines Of AI is near hence the name After the pair had difficulty making Payments to employees overseas they Decided to turn near protocol into a Crypto project that would focus on Payments and decentralized applications Inspired in part by ethereum and other Smart contract cryptocurrencies at the Time As you’ll soon see many aspects of near Protocol were inspired by other popular Crypto projects This is thanks to near protocol’s Whiteboard Series where they would

Invite founders of crypto projects to Explain how they work under the hood As it so happens episode 2 of near Protocol’s whiteboard series featured Solana founder Anatoly jacovenko and it Seems that the founders of both have Been on a friendly first name basis Since their respective crypto projects Were created This brings me to the development of Both projects Solana was built by Solana Labs a software company based in San Francisco California which was Co-founded by Anatoly along with other Top-tier computer scientists Salon’s development is coordinated by The Solana foundation and non-profit Organization based in Switzerland According to massari Anatoly also sits On the Solana foundation’s board of Directors Solana raised around 25 million across Various icos in 2018-2019 and 2020 and Raised an additional 340 million dollars From various crypto VCS last year Solana’s mainnet went live in March 2020 And its blockchain is still technically In beta as clearly noted in the right Hand corner of its official Explorer It’s not entirely clear when Solana’s Blockchain will transition to its Alpha Stage as it does not have an official Road map though an answer to this Question in Solana’s subreddit from last

March suggests this will take place Sometime this year Fun fact Solana is the official Blockchain for circles usdc stablecoin But the overwhelming majority of usdc’s Supply is currently circulating on Ethereum Now near protocol was built by near Incorporated a software company also Based in San Francisco California which Was of course co-founded by Ilya and Alexander and other top-tier computer Scientists near protocols development is Coordinated by the near Foundation a Non-profit organization also based in Switzerland according to massari Ilia Also sits on the near foundation’s board Of directors fun fact number two circles Former Chief marketing officer marieka Flamant became the CEO of the near Foundation earlier this year really gets The Noggin jogging Near protocol raised around 35 million Dollars across various icos in 2017-2018-2019 and 2020 raised an Additional 150 million from various Crypto VCS last year and raised another 350 million dollars from various crypto VCS earlier this year that’s an Additional 500 million dollars of post Ico funding This makes near protocol the second most Funded crypto project post Ico with Solana in third place

Now this is significant because lots of Post-ico investment indicates that Institutions believe a crypto project Has serious long-term potential If you’re wondering which crypto project Has received the most post-ico funding That would be Avalanche at close to 700 Million dollars you can find out what Avalanche has been up to using the link In the description anyways near Protocols magnet went live in October 2020 and its blockchain is likewise in Development Near protocol’s development roadmap was Posted to its governance Forum last June And it notes that near protocol’s Blockchain will essentially be complete Later this year When it comes to what’s going on under The hood Solana uses a proof-of-stake Blockchain that can reportedly process Anywhere between 45 and 65 000 Transactions per second This insanely high speed is made Possible by a series of Novel Technologies notably proof of History a Component of Solana’s proof-of-stake Consensus that makes it possible to Timestamp transactions As far as I know Solana speed also Applies to Smart contract transactions Because unlike most smart contract Cryptocurrencies Solana uses its own Virtual machine not the ethereum virtual

Machine That said a Solana project called neon Will soon be launching an evm layer for Solana that will be able to process Around 4 500 transactions per second so Be on the lookout I’ll also quickly note that Solana is Coded in the rust programming language Now Solana speed means the size of its Blockchain is growing very quickly this Could threaten Solana’s decentralization In the long term as a smaller and Smaller subset of validator nodes would Be able to store its blockchain history This is why Solana uses our weave to Store its blockchain history instead AR Is another cryptocurrency I hold as part Of my portfolio and you can learn more About our weave using the link in the Description now back to the ring The Solana blockchain is currently Secured by around 1800 validators but It’s important to note that transactions On Solana are processed by smaller Groups of up to 150 validators called Solana clusters In a 2019 debate between Anatoly and Alexander Anatoly noted that the maximum Number of validators Solana can support Is around twenty thousand though it’s Possible this has changed since then Near protocol uses a sharded Proof-of-stake blockchain that can Process around 1 000 transactions per

Shard With four shards currently live this Means near protocol can process around 4 000 transactions per second For those unfamiliar sharding Essentially involves splitting a Blockchain into multiple Parts which Makes it possible to do things like Process transactions in parallel or Assign different decentralized Applications to different shards to Ensure fees stay low and transactions Continue to process without issues Even though near protocol is not nearly As fast as Solana it’s fast enough that Its blockchain could face the same Blockchain storage centralization issues As Solana in the future This is why near protocol is working on Its own decentralized data storage Protocol called machina On near protocol one of its four shards Is dedicated to running Aurora an evm Layer for near protocol that can process Quote thousands of transactions per Second as per the blog post announcing The project Given that each Shard can process a Maximum of 1000 TPS this is probably Aurora’s actual TPS In any case near protocol also has its Own virtual machine for smart contracts And every near protocol wallet is Actually a smart contract which makes it

Possible to unlock new use cases like Borrowing using your entire wallet as Collateral rather than a single coin or Token Near protocol’s Four shards are secured By the same set of 100 validators which Makes its blockchain fairly centralized For what it’s worth near protocol plans On onboarding hundreds more validators By the end of the year as part of its Sharding roadmap Near protocol is also working towards Implementing something called Dynamic Resharding which will make it possible To automatically create and Destroy Shards based on the demand for its Blockchain I’ll quickly note that near Protocol is also coded in the rust Programming language Now assuming there’s no limit to the Number of validators near protocol can Support Dynamic resharding will Theoretically make near protocol Infinitely scalable though nearest Tokenomics will likely put a cap on how Many validators can realistically be Added Speaking of tokenomics Seoul is the Native cryptocurrency of the Solana Blockchain it’s used for staking and to Pay for transaction fees which are Burned Soul staking rewards are currently Around five percent per year for both

Validators and delegators with a Five-day lockup there’s no minimum stake For validators or delegators and Misbehaving validators are slashed Now setting up a validator on Salama is Known to be extremely difficult to do And it requires extremely expensive Hardware Delegation can be easily done using the Phantom wallet which exists as both a Browser extension and a mobile app on Android and iOS devices the Phantom Wallet itself raised a whopping 109 Million dollars earlier this year and You can find out why by using the link In the description I digress Seoul’s initial Supply was 500 million And it has no maximum Supply roughly 38 Of seoul’s initial Supply went to Investors 12 went to the team 12 percent Went to the Solana foundation and the Remaining 38 was set aside as Community Reserves which are custarded by the Solana Foundation Seoul’s vesting schedule is quite Frankly the most aggressive of any Cryptocurrency and I’ve long wondered Why unlocking almost all its initial Supply at the start of last year didn’t Completely crash its price Solana’s Explorer reveals that much of Soul Supply is concentrated in the top 25 wallets unfortunately these wallets Are not labeled so it’s hard to know who

They belong to without the help of a Blockchain analytics company you can Learn more about blockchain analytics Companies using the link in the Description Anyhow seoul’s inflation rate is Currently around five percent per year And it’s scheduled to decline over about The next decade before settling at Around 1.5 percent note that seoul’s Real inflation rate is likely much Higher as early investors can sell at Any time and are likely doing so slowly But surely they have also likely Accumulated more Soul via staking in the Interim Now the Silver Lining to sole Supply Situation is that with enough Transactions Seoul could become Deflationary due to the transaction fee Burns I just mentioned This would serve as Rocket Fuel for Seoul’s price Near is the native cryptocurrency coin Of the near protocol blockchain it’s Used for staking and to pay for Transaction fees which are also burned Unless they involve a smart contract in Which case 30 of the transaction fee Goes to the smart contract Creator and The remaining 70 is burned as you might Have guessed this is to incentivize Developers to build on neoprotocol which Is a good idea since Solana and polkadot

Seem to be the only other two big Cryptocurrencies coded in the rust Programming language and that means They’re all fighting for the same pool Of crypto Developers Near staking rewards are currently Around 10 per year for both validators And delegators with a one-day lockup There’s currently no slashing on near Protocol either While there’s no minimum stake for Delegators validators must take more Than 166 000 near to become a part of the Validator set which is more than eight Hundred thousand dollars at today’s Prices Ironically the hardware required to Become a validator node on near protocol Isn’t far off from the specs you get With a standard laptop or PC For what it’s worth near protocol will Soon be introducing a new type of Validator node called a chunk only Producer which will not require a Six-figure stake Delegation can easily be done using the Near wallet which only exists as a web Wallet for the time being this might Have something to do with the fact that All wallets are near protocol are Elaborate smart contracts note that a Small amount of near must be locked to Create a wallet

Near’s initial Supply was 1 billion and It also has no maximum Supply roughly 35 Percent of near’s initial Supply went to Investors around 12 went to early Participants of near protocol’s Ecosystem 14 went to the team 10 went to The near foundation and the remaining 29 Was set aside for Grants Nia’s vesting schedule is to put it Bluntly second only to souls most of Near’s Supply will be vested by the end Of this year and the remainder will be Vested by 2025. Although near protocols Explorer does Allow you to see wallet addresses it Apparently doesn’t let you sort them by The amount of near they hold which makes It impossible to know how near’s Supply Is currently distributed frustrating to Say the least Near’s inflation rate is fixed at five Percent per year and this percentage Applies to its current Supply not its Initial Supply Now the Silver Lining to near Supply Situation is that with enough Transactions Nia could become Deflationary and though this may be more Difficult for near to do due to its Transaction fee model the fact that a Small amount of near is locked up in Each wallet could actually accelerate The process So this ties into everyone’s favorite

Part and that’s the price action and Potential of these two cryptocurrencies Starting with Seoul you can see that it Hit an all-time high of around 260 Dollars last November with an average Ico price of around 22 cents this Translates to well over a 1 000 X return For early investors who sold their soul At or near the top Seoul has been on the decline ever since And this is due to a combination of Factors notably the fact that crypto has Entered a bear market and the fact that Solana’s blockchain keeps experiencing Outages I’ll come back to that in a Moment Soul’s circulating supply has also Increased by around 60 million over the Last year Assuming an average price of around 100 Per sold during that time this means Seoul could have seen as much as six Billion dollars of cell pressure which Is certainly possible given all the Gains early investors made What’s interesting is that Soul doesn’t Seem to be as correlated to BTC as most Major altcoins which suggest that its Price is being driven significantly if Not primarily by organic demand rather Than retail speculation as is the case With most cryptocurrencies This makes sense given that Solana is Also the de facto exchange chain for the

FTX cryptocurrency exchange which is Invested heavily into salon’s ecosystem And is also building its own niche of D5 Protocols dubbed project serum Salon’s ecosystem has consequently grown Exponentially over the last year and the Hundreds of dapps on its blockchain Continue to see hundreds of thousands of Monthly users despite the crypto bear Market As I mentioned earlier Solana is the Official blockchain for circles usdc Stablecoin and the recent rollout of Solana pay suggests that the project is Trying to Pivot into payments to Continue adoption during said bear Market Move to earn game steppen also seems to Be a selling point for Solana More importantly however there’s no Shortage of demand coming from all the Institutional investment vehicles for Solana which hold over 100 million Dollars of Soul according to just ETF The Chicago Mercantile Exchange is even Looking at offering Solana Futures Though that probably won’t affect the Price of sold directly Regarding price potential Seoul is Currently constrained by its massive Market cap Despite its precipitous drop it’s still One of the largest cryptocurrencies and That means it’s going to take a lot more

Money to push up its price in percentage Terms obviously there isn’t all that Much money kicking around during bear Markets Next up is near and you can see that it Hit an all-time high of around 20 in January this year with an average Ico Price of around 20 cents this translates To a 100x return for any investors who Sold at or near the top Hilarity aside near was actually holding Up quite well until early May and I Suspect this has something to do with Terror’s collapse if you watched my Video about terror’s collapse you’ll Know that it’s UST stablecoin had found Its way into just about every smart Contract cryptocurrencies defy ecosystem If you’ve been keeping up with our near Protocol updates you’ll know that the UST stablecoin landed on near protocols Aforementioned evm layer Aurora in December last year Now whereas Solana’s defy ecosystem was Large enough to take the blow it seems That near protocol’s defy ecosystem on Aurora took a massive hit as indicated By the sharp decline in total value Locked on the day Terra entered a death Spiral To make things worse near’s circulating Supply has increased by more than 400 Million over the last year which is Literally 40 percent of its initial

Supply and close to a 2X increase in its Circulating Supply Assuming an average price of around Seven dollars per year during that time This means near could have seen as much As 2.8 billion dollars in cell pressure Which would be a massive amount given That near protocol’s market cap was 12 Billion at the top This potential cell pressure makes Near’s robust price action all that more Impressive even though it underperformed Many altcoins in percentage terms Moreover the fact that its price action Is even less correlated to BTC than Souls suggests there’s lots of organic Demand for near Blockchain statistics on the near Protocol confirm this hypothesis the Number of daily transactions and the Amount of gas used continues to rise Regardless of nears price and in the Case of wallets the growth has been Nothing short of exponential This might have something to do with the Fact that near protocol has spared no Expense expanding its ecosystem its 800 Million ecosystem developer fund Announced last October is a great Example The caveat is that this aggressive Expansion has almost certainly created Lots of cell pressure for near as much Of this money came from and is coming

From sales of near by the near Foundation Coincidentally near protocol also seems To be pivoting to payments to stay Afloat during the bear Market as it Recently announced the release of near Pay Near protocol even partnered with a move To an app called sweatcoin which as the Name suggests is basically steppen but On near protocol If that wasn’t crazy enough sweatcoin Has over 63 million users already even Though the token won’t be released until Later this summer take note Now unlike Soul there don’t seem to be Very many institutional investment Vehicles for near even so masari’s Massive report about the crypto Market In 2021 found that near was the most Held cryptocurrency by institutional Crypto funds after BTC eth and Dot We actually summarized masari’s massive Crypto report in another video and you Can find it using the link in the Description Anyhow digital currency group CEO Barry Silbert also recently revealed that near Is his company’s largest holding after BTC and eth for those who don’t know dcg Is one of the largest companies in Crypto it owns grayscale and its crypto Company portfolio also includes Circle And coinbase

That’s why it’s odd that near isn’t Listed on any U.S exchanges besides Binance us with coinbase’s recent track Record of listing obscure altcoins you’d Think it would at least consider listing Near I suspect this is because near protocol Has focused more on overseas adoption Rather than U.S adoption Whatever the reason one of the Convenient consequences of Nia’s lack of Exchange support means that it has much More room to grow and this is the case When it comes to its market cap as well With a four billion dollar market cap it Wouldn’t take much money to push up Nearest Price however this also means it Wouldn’t take much money to push down Nia’s price and this relates to the Challenges these crypto projects are Likely to face going forward In terms of the challenges Solana is Likely to face the elephant in the room Is all the outages its blockchain has Been experiencing I’ve lost count of how many times Solana Has gone down but it’s definitely been More than 10 by now As much as I want to believe the crypto VCS when they said that institutions Don’t care about Solana’s outages during Algoran’s decipher conference last year I know for a fact that Legacy Institutions see security as the number

One priority forget the 320 million Dollar Wormhole hack the fact that Solana can’t stay fully functional for More than a few days or weeks at a time Is a huge turn off to every institution Who’s looking to use it for payments and It seems that even circle is starting to Become skeptical The second challenge for Solana is Development Solana founder Anatoly yakovenko has Mentioned on many occasions that Building on Solana is akin to quote Eating glass and this is something that Has been confirmed To Us by multiple Solana Developers If building on Solana is that difficult Then it’s eventually going to fall Behind in terms of development no matter How much money is thrown at developers Especially in the middle of a crypto Bear Market where devs are scarce and The morale of the ones who stuck around Is as red as their portfolios The third challenge for Solana is Decentralization even though Solana has Managed to delegate the storage of its Blockchain history to our weave the Hardware requirements for Solana’s Validators have only continued to grow And never mind the massive amount they Need to stake to generate good returns Interestingly High Hardware requirements For Solana validators is actually

Something near protocol co-founder Alexander skidanov predicted during his Debate with Anatoly in 2019 but Anatoly Scored a few points on Alexander too The first challenge for near protocol is The same as Solana’s third challenge Which is again decentralization Having low Hardware requirements for Your validator nodes means nothing if They have to Shell out up to a million Dollars or more for their minimum stake Their minimum stake Near protocols Founders have also Mentioned on many occasions that they’re Not rushing to decentralize but this Could also become an issue when it comes To regulations particularly in the United States The second challenge for near protocol Is exactly that regulations to be clear Near protocol doesn’t seem to be in any Danger from Regulators outside the United States and the fact that it Hasn’t really established itself in the United States means it probably won’t be Subject to a Crackdown there either Still near protocols admitted Centralization along with its surprising Lack of transparency could be the real Reason why other U.S exchanges haven’t Listed near and it’s likely serving as a Red flag to any funds looking to offer Institutional investment vehicles for Near

The third challenge for near protocol is Competition specifically from Solano Even with its frequent outages Solana Remains a formidable Foe and its massive Market cap says it all I really do think that near protocol and Solana are fundamentally fighting for The same pie and that means there might Only be one winner of their pie eating Contest funnily enough this could have The paradoxical effect of limiting the Growth of both cryptocurrencies since The same capital is chasing them The presence of so much competition Between smart contract cryptocurrencies In general seems to be why eth didn’t Hit 10K during the previous Bull Run and You can find out how long the current Crypto bear Market could last and how High eth could go next time around by Using the link in the description And now for the Moment of Truth Solana Or near protocol so let’s take it from The top As far as the founders go Anatoli Ilya And Alexander all seem to be evenly Matched though I suspect that the Combined brain power of Ilya and Alexander far exceeds what Anatoly could Muster on his own Then again there’s more to Solana and Near protocol than their Founders and Apparently Ilya and Alexander don’t Always get along either part of the

Process I suppose In the domain of development all seems Fairly equal there it’s really quite Amazing how similar the structures of The entities behind both projects are The only difference there seems to be The amount of post-ico funding which When you consider how much money has Been poured into Solana projects like Its Phantom wallet comes out fairly even At the ecosystem level Under the hood is where things get Interesting especially if you’ve watched The debate between Anatoly and Alexander That I keep talking about I keep talking About it because the topic was sharding Versus no sharding and I really think Alexander won that debate In short Solana having a single Blockchain means it’s likely to face Lots of issues in the long run including Those I mentioned earlier like Progressively higher validator node Requirements Anatoly believes that the declining cost Of hardware and continued Innovation Will solve these issues but that’s not a Given Moreover Anatoly only seemed to shy away From sharding because it was a quote Hard computer science problem that would Take years to solve aside from a few Minor security issues associated with Sharding Anatoly seemed to admit it was

Superior he just doesn’t have the Patience for it Now tokenomics is where Solana shines I Don’t know what the hell they did behind The scenes but the early investors Managed to find a way to both have their Cake and eat it and by that I mean get Access to all of their soul and be able To sell some or even lots of it without Crashing seoul’s price As novel as near protocol’s transaction Fee mechanism is Solana seems to have a Better grasp of the long-term Implications of things like feeburns Inflation and staking Rewards there’s Also nothing stopping Solana from Implementing the same transaction fee Mechanism Robust ergonomics is arguably why Solana Wins on the price side too even with its Massive market cap there’s a high chance That Seoul could see more gains in Percentage terms than near when the next Bull market comes around simply because It somehow cracked the tokenomic code of Cryptocurrency The wild card in this prediction is Near’s circulating Supply which once it Vests means there will be next to no Cell pressure left from near protocols Early investors This could give near the conditions it Needs to really rally when that Speculative demand comes back around

If you ask me the challenges both of These crypto projects face are the real Deal breaker and which one comes out on Top ultimately depends on how easy it is To solve these challenges I must confess that I think Solana faces Much bigger hurdles than near protocol The fact that Solana’s blockchain Continues to go down even after its Developers have promised different fixes Suggest the issues are bigger than they Admit or even know about The fact that building on Solana is the Equivalent of eating glass only makes Things worse Make no mistake if Solana’s outages Don’t get addressed they will eventually Kill the project There’s no ignoring that and there’s no Ignoring that this is an existential Threat that near protocol doesn’t face Nor any other major crypto project for That matter To be fair near protocol is still in the Process of rolling out its novel Sharding mechanism which could cause a Whole bunch of other issues case in Point near protocol already discovered a Few of these issues after rolling out Its first four shards last autumn The thing is that these issues were Actually solved and that’s why at this Point in time I think near protocol Comes out on top

I must stress though that this could Change and in the broader niche of smart Contract cryptocurrencies there are Others that could Challenge and even Beat both projects That’s why I hold both near and soul as Well as a bunch of other smart contract Cryptocurrencies the reality is that It’s too soon to say which one will win And it’s looking more than likely that We’re going to be dealing with a Multi-chain future I am happy that my portfolio reflects That And that’s all for today’s video about Near protocol versus Solana if you found It as fascinating as I did Smash that Like button to let me know remember to Subscribe to the channel too and make Sure to Ping that notification Bell so You don’t miss the next video If you bought near or sold at the top The coin Bureau deals page might help You reclaim some of those loss gains While you wait for the next video to hit The tube you can check out coin Bureau Clips for behind the scenes takes and Emergency Market updates you can also Check out the coin Bureau podcast where Mad Mike and I go down the crypto rabbit Hole I’m available on Twitter tiktok and Instagram so be sure to follow me there And while you’re at it join my telegram

Channel too let’s get it to 200k okay Guys Now if you’re wondering what other Cryptos I hold as part of my personal Portfolio you can subscribe to My Weekly Newsletter and find out and if you’re Looking for some crypto merch to keep You cool during the summer check out the Coin Bureau store links to all of these Resources are down in the description So thank you all so much for watching It’s been a pleasure as always and I’ll See you all again very soon stay cool Stay safe and Stay crypto [Music]