Banking giant Standard Chartered anticipates a significant leap in the value of Solana, potentially reaching $500 by the year 2029. The prediction is based on the growth and development of the Solana blockchain network.
In a recent report, international banking firm Standard Chartered has expressed optimism about the future of Solana, a leading blockchain network. The bank believes that Solana could reach a value of $500 by the year 2029.
According to Geoffrey Kendrick, global head of digital asset research at Standard Chartered, Solana's growth potential is significant despite certain short-term challenges. He and his team have conducted a comparative analysis between Solana and Ethereum to better understand their context and potential.
One of the key factors driving Standard Chartered's optimism is Solana's strong growth in decentralized finance (DeFi) and its positioning as a leading blockchain supporting stablecoins, which are currently the fastest-growing crypto market segment. Solana's ability to convert real-world dollars into digital stablecoins that are actively used within its DeFi ecosystem is seen as a key growth driver.
The bank also highlights Solana's scalability, ultra-low fees, and high transaction speeds. Solana now handles 4,600 transactions per second with ongoing technical upgrades, such as reducing transaction finality to 150 milliseconds and enhancing fault tolerance. These improvements support increased adoption and usage.
Solana's expanding real-world adoption is another significant factor. For example, the recent integration of Solana Pay with Bitget Wallet enables instant payments in physical and online stores, particularly boosting usage in markets like Brazil where 65% of crypto users prefer Solana. Solana's growing compatibility with popular platforms, such as MetaMask, also broadens its potential user base and ecosystem reach.
While AI agents were initially considered a potential "killer app" for Solana, the cooling of AI hype means this driver may take longer to materialize.
In summary, the key factors supporting Standard Chartered's optimism include leadership and innovation in decentralized finance (DeFi) and stablecoins usage, superior scalability, speed, and low fees with ongoing technical upgrades, real-world payment adoption growing via integrations like Solana Pay, broader ecosystem reach through MetaMask integration and expanded DeFi offerings, and initial but currently limited contribution from AI agent applications.
Standard Chartered's projections are supported by other bullish price scenarios in the market, with its $500 target for 2029 fitting within the range of ultra-bullish forecasts from firms like VanEck and Bitwise. The bank's assessment incorporates Solana's growth trajectory in these major areas, supporting a significant increase in valuation and price by 2029.
However, it's important to note that investing in crypto assets is not fully regulated and may not be suitable for retail investors due to its high volatility, and there is a risk of losing the entire amount invested.
[1] Source: Standard Chartered Report on Solana [3] Source: Solana's official website and various media reports
[1] The optimism expressed by Standard Chartered regarding Solana's future is partially driven by its strong presence in the decentralized finance (DeFi) sector and its leading role in supporting stablecoins, which are currently the fastest-growing segment in the crypto market.
[2] In addition to its DeFi growth potential, Solana's scalability, ultra-low fees, and high transaction speeds are seen as significant factors contributing to its increasing adoption and use within the finance and investing industry, with some forecasting it could reach a value of $500 by the year 2029.
