Galaxy Digital Moves $105M Worth of Ethereum to Solana

Solana has received nearly $105 million worth of Ethereum from Galaxy Digital, one of the leading crypto asset managers, in a strategic move

Solana (SOL) has reportedly received a massive influx of Ethereum (ETH) from Galaxy Digital, a major crypto asset manager, in a strategic move that has sparked interest in the crypto community.

According to on-chain data from Arkham, Galaxy Digital moved a large amount of Ethereum from their wallet to Solana over the past two weeks, mostly using Binance for the transfers. The data showed that the firm swapped 65,600 ETH, worth around $105 million, and received about 752,240 SOL, valued at roughly $98.37 million.

The company, known for its institutional-grade services, made this move after the price of Ethereum fell by 20% in a month and Solana went up by 8%. After the swap, it was recorded that Galaxy had 55,760 ETH left and 171,250 SOL. The timing suggests that Galaxy likely sees Solana as a stronger asset with more users, lower fees, and daily growing activities.

The move comes as Solana has been rapidly gaining popularity among decentralized exchanges (DEXs) and meme coin projects, while Ethereum has struggled with high gas fees and limited scalability.

According to data from dune.com, Solana's DEX volume has surpassed Ethereum's in the last three months. As of August 8, Solana's DEXes had a total volume of $395 billion, compared to Ethereum's $364.65 billion.

Moreover, Solana had a little over 224 million active addresses, while Ethereum and its Layer-2 networks had just over 79.04 million combined. Following this recent change, the price of ETH dropped again to the $1,600 range, showing more possible liquidations.

On the other hand, SOL climbed back to $140, with expectations of it growing as its on-chain activity rises. The activities on Solana have also grown thanks to Pump.fun and PumpSwap, the new exchange launched by the platform.