Hoskinson Sees Solana Outpacing Ethereum in the Short Term

With 2026 on the horizon, many investors and traders are evaluating which cryptocurrencies could offer strong returns in the coming year. Cardano founder Charles Hoskinson has shared his perspective on Ethereum (ETH) and Solana (SOL), highlighting how each blockchain may perform as the market progresses. His observations underline that the performance of the two networks differs across timeframes: Solana is positioned to gain traction quickly due to its speed, while Ethereum is pursuing a slower, research-focused strategy aimed at long-term impact.

Solana’s Edge in the Short Term

In a conversation on AltcoinDaily, Hoskinson noted that Solana’s speed, combined with its leadership, allows the network to adopt upgrades and new technologies rapidly. This agility has made the blockchain appealing for projects developing tokenized equities and other financial applications. Its high transaction throughput and fast upgrade cycles support strong network performance and sustained user engagement.

Recent data from Capital Markets shows that tokenized stocks on Solana have reached an all-time high, with a total value of around $185M. The network has become the infrastructure of choice for institutional platforms such as xStocksFi, Superstate, and Remora Markets, which rely on it for their operations. Solana’s focus on fast processing and scalable infrastructure supports this activity, allowing it to handle high transaction volumes efficiently.

Despite these strengths, Solana still lags behind Ethereum in several key financial metrics. Its total value locked is $8.37 billion compared with Ethereum’s $68.375 billion, and the market capitalization of SOL’s stablecoins stands at $15 billion, far below Ethereum’s $165 billion, according to DefiLlama. These figures indicate that Ethereum’s broader and deeper financial ecosystem has yet to be fully matched on Solana.

Ethereum’s Long-Term Strategy

Hoskinson explained that Ethereum benefits from a broad and well-established ecosystem that supports a wide range of projects. Its development is centered on long-term research and technological upgrades, including zero-knowledge proofs and advanced scaling solutions. By relying increasingly on cryptographic proof systems for validation, Ethereum aims to function as a verification layer across multiple networks.

Although this is a long-term plan, Hoskinson believes Ethereum is heading in the right direction. Its proof-based model offers a scalable foundation able to meet internet-scale demand. While Solana holds a short-term edge with its speed and flexibility, Ethereum’s research-driven strategy could secure its position over the long term. Ultimately, the success of both networks will depend on the real-world adoption choices of users and institutions.

Currently, both tokens have seen minor declines. Ethereum has dropped 2% in the past 24 hours, while Solana has fallen by 1% over the same period. On a broader scale, SOL has lost more than 58% from its all-time high in January, whereas ETH has decreased by 40% from its peak in August. Analysts have observed this prolonged downward trend, with Ted Pillow noting that if December ends with a loss, it would mark the ninth negative month for Ethereum in 2025—a scenario only previously seen during the 2018 bear market.