**Ethereum Under Pressure as Gas Fees Surge to $50; Solana Shines with 2,000+ TPS Compared to Ethereum’s 15. Experts Warn Ethereum Might Lose Institutional Users if Scalability Upgrades Lag Behind Solana’s Efficient Infrastructure. More Crypto Broker-Dealers Are Turning to Solana for Transactions Over $1 Million, Says Analyst MartyParty. #Solana Leads Monthly DEX Volume for the Fifth Consecutive Month, Reaching $105.86 Billion. Consider Accumulating $SOL Before the Next Surge! pic.twitter.com/COoPw3obq5 — MartyParty (@martypartymusic) March 8, 2025**
This trend signifies a notable shift away from Ethereum, which has long been the go-to for institutional crypto transfers. Recent data shows that Solana’s lower transaction fees and quicker processing times are driving this change. #Solana SIMD-0228 Vote is Ongoing: 137 Validators Have Voted, Representing 15.4% of Stake, with 12.1% in Favor and 3.2% Against. pic.twitter.com/PpyRngTTP7 — MartyParty (@martypartymusic) March 9, 2025
MartyParty shared insights on social media, highlighting that broker-dealers are executing transfers between $1 million and $10 million for various purposes, including liquidity management, debt repayment, and portfolio balancing. #Solana SIMD-0228 Voting Continues: 11.7% in Favor, 2.9% Against, with 15% of Stake Voting So Far and 33% Needed to Pass. pic.twitter.com/6JybvYFvcR — MartyParty (@martypartymusic) March 9, 2025
Ethereum’s escalating gas fees and network congestion have made these routine operations more expensive and slower, prompting firms to seek alternatives. In contrast, Solana’s average transaction fee remains below $0.01, while Ethereum’s can soar above $50 during peak times. Additionally, Solana has experienced a surge in stablecoin liquidity this year, with its total value locked (TVL) increasing from $1.4 billion in January to $4.9 billion in June. This higher liquidity minimizes price slippage during large transfers, ensuring assets move smoothly between wallets. Meanwhile, Ethereum’s TVL growth has stagnated, rising only 18% in the same timeframe.
Analysts at ETHNews have pointed out that Solana’s reliability for high-volume transfers reflects a growing trust in its technical infrastructure. However, Ethereum continues to grapple with scalability challenges. Its network processes only 12-15 transactions per second (TPS), while Solana boasts over 2,000 TPS. For broker-dealers handling time-sensitive trades, speed is crucial for profitability. This trend raises important questions about Ethereum’s ability to keep its institutional users. If gas fees and congestion issues remain unresolved, more entities may shift their transactions to faster, more cost-effective blockchains.
Solana’s increasing adoption by financial platforms could further encourage the development of its ecosystem, including decentralized finance (DeFi) tools designed for large-scale operations. While Ethereum developers are actively working on upgrades like DankSharding to enhance scalability, these solutions are still in the testing phase. In the meantime, Solana’s current capabilities are well-suited to meet immediate demands, making it a practical choice for many.
