Galaxy Digital CEO Mike Novogratz believes Solana will be at the forefront of the next wave of crypto adoption, with billions set to flow into SOL.
In a recent CNBC Squawk Box interview, Novogratz highlighted the vast growth potential of crypto. He noted that while the crypto market is over $4 trillion, the global wealth market stands at an enormous $400 trillion.
The Galaxy Digital CEO expects traditional investors to channel funds into crypto, positioning Solana as a key entry point for this influx of fresh capital.
Recent Billion-Dollar Inflows to Solana
Notably, Novogratz pointed to Forward Industries’ $1.65 billion Solana treasury initiative and the upcoming SOL ETFs as examples of new capital entering the Solana ecosystem.
For context, in August, Nasdaq-listed company Forward Industries raised $1.65 billion to buy and hold Solana as a treasury asset. The firm has commenced the acquisition of SOL, with Novogratz’s Galaxy Digital facilitating the purchase.
Adding to the momentum, Novogratz pointed to Dan Morehead’s upcoming Solana-focused treasury company and the imminent launch of two Solana ETFs as other examples of institutional conviction and capital inflows.
As reported earlier, Morehead, the CEO of Pantera Capital, is seeking to raise $1.25 billion to establish a SOL-focused treasury. Additionally, there is growing discussion that the SEC will soon approve the launch of spot ETFs tied to Solana.
Proponents believe the SOL ETFs could launch as early as next month. This coincides with the SEC’s final decision deadlines for multiple Solana exchange-traded funds from VanEck, Grayscale, Canary, and Bitwise.
“It’s SOL Season”
Amid these positive developments, Novogratz emphasized that it is the season of Solana. With SEC Chair Paul Atkins calling on financial markets to move on-chain, he hinted that Solana could benefit from this transition.
He highlighted the network’s technical edge, claiming that it processes billions of transactions per day, exceeding the combined daily volume of equities, fixed income, commodities, and foreign exchange markets.
Ethereum’s Growth Won’t Hurt Solana
Meanwhile, Novogratz dismissed the notion that Solana’s growth might come at the expense of Ethereum, Bitcoin, and vice versa. In his view, each crypto asset has distinct communities and utilities, and can all co-exist.
Illustratively, Novogratz cited that Bitcoin stands apart as digital gold, with its community members trusting it as a store of value. On the other hand, Ethereum has its own use cases and community.
While expecting Ethereum to compete with Solana, he views it as healthy competition, emphasizing that no single blockchain will dominate them all.
DisClamier: This content is informational and should not be considered financial advice. The views expressed in this article may include the author's personal opinions and do not reflect The Crypto Basic opinion. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.
