Thread by @HighCoinviction

$SOL will be one of the fastest horses in the next leg of the bull run.

The Solana ecosystem continues to build momentum with development activity booming and TVL soaring past ATHs.

Even at current val. it still offers one of the best R/R in crypto.

$SOL summer is coming🧵

The value proposition of Solana boils down into a simple pitch:

The fastest and cheapest smart contract platform in crypto.

But that alone isn’t interesting enough for Solana to stand out.

The key value proposition vs its major competitors (ETH, DOT, ATOM) is that it does not pursue scalability through sharding.

It instead maintains a single shared state enabling synchronous composability for every application on Solana.

This matters because with a single shared state and synchronous composability every application on Solana can communicate with each other atomically.

This is what has made Ethereum's DeFi ecosystem so incredible to date, but something Ethereum may lose as applications move to different L2s and/or eventually run on different shards.

You can’t have flash loans and other wild primitives without it.

However, there are skeptics that remain in the market.

The bear case for Solana is concentrated around two arguments:

1) Solana is currently not decentralized and may never decentralize enough in the future

2) Despite its progress, the Solana ecosystem is very immature and faces a steep uphill battle vs Ethereum

Here are the reasons why I am able to look past these bear arguments.

For starters, crypto as a whole is still in its very early stages and nobody really knows right now how things will play out.

It is still unclear whether smart contracts will be a winner-take-all market.

While Ethereum is currently in the lead, data points increasingly point towards a multi-chain future, at the very least for the foreseeable future as this market plays out.

https://twitter.com/HighCoinviction/status/1404660576320585728

As mentioned earlier Solana offers the most distinct value proposition of all the Ethereum competitors, and is showing early signs of being the best bet you can make on a future where Ethereum is not the sole smart contract platform with activity.

Now for centralization concerns.

Similarly there still remains a lot of debate around how much decentralization a blockchain needs to achieve the desired properties we want.

It is unfair to discount Solana as a potential winner just yet given how things are still very uncertain.

Maybe 1,000 - 10,000 nodes is all we really need to secure a blockchain and get the properties we want, in which case concerns about Solana’s node count are invalid.

Moving on, the argument around no meaningful applications being built on Solana right now can also be discounted to some degree given it is more backwards looking as opposed to forward looking.

The same argument was made about Ethereum in 2017 and look where we are now.

In any case, if you want the data, development activity and TVL on Solana are trending very well to say the least.

https://twitter.com/TusharJain_/status/1425870963841933318?s=20

Billionaire Sam Bankman-Fried of FTX is heavily involved in this ecosystem with his project Serum.

This is important because he has put a ton $$ into building the Solana brand which is causing it to gain mindshare amongst consumers & developers incredibly fast.

A bet against $SOL is also a bet against Sam which is something you don’t want to do.

How do you compete against someone who has unlimited resources?

My friends who don’t know anything about crypto, text me about $SOL.

That’s how I know it's working.

Wall Streeters love $SOL too. The pitch just makes sense, especially with the “billionaire tech genius” archetype (Sam) to drive Solana forward as well.

Finally the setup $SOL exhibits characteristics of an amazing investment in the near-term.

1) Moonshot potential and doesn’t pullback as much as the rest of crypto in downturns

2) Highly liquid

The weekly chart also looks incredibly strong and ready to send.

It even maintained bullish structure throughout the entire bear market.

So with the bear arguments nullified , you are left with an asset that offers one of the best R/R in crypto right now, and one that offers practically unlimited upside in a bubble given its comped to $ETH which trades like its running to become the internet’s reserve currency.

The TAM is trillions of $$$.

Pack your bags accordingly.