Franklin Dupton: Solana DeFi tokens are undervalued, there exists a "value asymmetry" compared to Ethereum

The Solana DeFi ecosystem is growing much faster and generating more revenue than Ether, but its token is still significantly undervalued and has an ‘asymmetry of value,’ Franklin Templeton said in a report Tuesday. The report compares Solana and Ether, the two leading DeFi projects in the ecosystem. The data shows that Solana projects have seen average annual fee growth of 2,400% at a valuation multiple of only 9x, while Ether's projects have seen fee growth of only 150% at a valuation multiple of 18x. The report further suggests that DeFi may be entering a new era dominated by Solana's Virtual Machines (SVMs), and that the historical dominance of Ether's Virtual Machines (EVMs) in DeFi is in danger of being challenged. dominance in the DeFi space is being challenged. Nonetheless, Franklin Templeton remains optimistic about Ethernet's long-term growth, citing progress in its scaling strategy for its Layer 2 solution, which is driving scalability across the network. However, in terms of market pricing, the mismatch in the value of Solana DeFi tokens may not be sustainable in the long term, and as the Solana ecosystem continues to demonstrate its resilience on decentralised computing platforms, the market may gradually adjust its valuation to bring the price of Solana's leading DeFi project in line with Ether's blue-chip protocols.