VanEck said the Solana (SOL) network’s high user engagement and transaction volume largely reflect its low-cost, high-throughput design despite substantial revenues stemming from speculative memecoin activity.
The firm’s latest analysis comes in response to speculation that Solana’s numbers are inflated by wash trading in memecoins. Many critics argue that this makes SOL’s growth less notable than the numbers make it seem and raise concerns over its future potential.
However, VanEck head of digital asset research Mathew Sigel emphasized that Solana’s popularity among speculative traders is driven by the chain’s structural efficiencies, which attract users at a rate unmatched by other networks.
According to VanEck’s latest analysis, approximately 14.2% of Solana’s revenue is generated by wash trading — the practice of artificially inflating trade volumes through repeated buying and selling of the same asset. By…
