Solana Faces Critical Transition to Modular Architecture

According to Odaily, DeFi analyst Ignas has highlighted that Solana is at a pivotal juncture as it transitions from a monolithic blockchain to a modular architecture. This shift has sparked significant discussion within the industry. Ignas emphasized that this change could impact Solana's standing within the cryptocurrency community, with the key factor being whether the concept of 'network expansion' gains acceptance. During this bull market, Ethereum (ETH) is positioned between Bitcoin (BTC) and Solana (SOL). Ignas believes that if Solana adopts a Layer 2 (L2) scaling model similar to Ethereum's, SOL could potentially become the new ETH. However, this depends on how the new architecture affects the actual performance of the Solana ecosystem. Ignas also warned that if Solana encounters issues such as liquidity fragmentation, its status could become uncertain. Additionally, speculators might shift their focus to 'network expansion' tokens within the Solana ecosystem rather than SOL itself, which could hinder SOL's price growth.