Matt Hougan explains why Solana is conquering the market: these are the two key reasons

Bitwise CIO Matt Hougan explains why Solana represents a dual opportunity in the crypto ecosystem. In his view, this cryptocurrency offers both market growth and technological leadership.

In a recent thread on X, Hougan argued that some digital assets have the potential to generate profits in two simultaneous ways. This logic, which applies to both Bitcoin and Solana, is based on observing how the market in which they operate evolves and how each asset positions itself within that environment.

In the case of Bitcoin, Hougan pointed out that its value could increase if the global store of value market expands or if Bitcoin gains a larger share within that market. Currently, that segment is valued at approximately $27,5 trillion, with gold dominating at around $25 trillion and Bitcoin at approximately $2,5 trillion. If the market were to double and Bitcoin were to maintain its 9% share, its price would also double. And if, in addition, Bitcoin were to match gold in market share, each unit could reach $6,5 million, Hougan explained.

This reasoning serves as a basis for introducing the case of Solana, a blockchain that, according to the expert, also has the capacity for growth in two ways: on the one hand, the development of the stablecoin and tokenization market; and on the other hand, the possibility that Solana will gain prominence over its competitors in that same space.

Solana is gaining ground in the world of stablecoins and tokenization

Solana is a Layer 1 blockchain recognized for its speed, ease of use, and an active community that prioritizes fast execution. Although its current market capitalization is around $103.000 billion, Hougan believes its emerging position is precisely what makes it relevant.

The infrastructure market for stablecoins and tokenization is booming. Ethereum leads in stablecoin issuance and trading volume, and also holds a dominant position in fund tokenization. However, Hougan highlights that Solana has technical and community features that allow it to compete effectively. Its technology is fast, intuitive, and supported by developers and users who drive constant innovation.

A concrete example of this institutional adoption is the recent announcement by Western Union, which chose Solana as the underlying blockchain for its new stablecoin. These types of decisions reinforce the thesis Hougan says: Solana is gaining ground in a market that, according to him, could multiply tenfold in the coming years.

Hougan even pointed out that this blockchain has the potential to gain more market share, getting closer to giants like Bitcoin and Ethereum in the race for digital supremacy.

A groundbreaking crypto ETF

In addition to the confidence Hougan expresses on social media, Bitwise is taking firm steps to solidify its vision for Solana. The firm Bitwise recently launched the Solana Staking ETF (BSOL), the first exchange-traded fund in the United States focused exclusively on SOL. 

As an reported This ETF allows traditional investors to access staking returns without having to interact directly with blockchain technology, representing a bridge between the conventional financial world and the crypto ecosystem.

According to experts, the creation of this fund, which also attracted the most capital in its debut this year, not only reaffirms what Hougan has been pointing out about Solana—that it's not just a technical promise—but also that it's capturing the attention and validation of major institutional players. This, in a context where asset tokenization and the use of stablecoins are increasingly recognized as the foundations of the future digital economy, shows how Solana is emerging as an essential platform, ready to sustain that growth.

Thus, while Hougan doesn't dismiss the value of other blockchains like Ethereum, his strategic analysis suggests that Solana has room to grow in both market capitalization and market share. If the stablecoin and tokenization ecosystem expands as he anticipates, and Solana manages to establish itself as one of the leading platforms in this universe, the return for investors could be significant.