Is SOL Money? with Austin Federa, Head of Strategy, Solana Foundation

Bankless hasn’t had the most coverage of Solana, the network, and SOL, the asset, but in this episode that changes. Our guest, Austin Federa is Head of Strategy at the Solana Foundation and is the host of the Validated podcast.
David was recently a guest on Austin’s podcast where they went back and forth on some of the cultural and philosophical differences between the Solana and Ethereum projects. Today is a continuation of that episode.
Despite some differences in community perspectives, Austin brings a fresh perspective on the design philosophy that relates Solana the network to SOL the asset and so much more.
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TIMESTAMPS
0:00 Intro
6:50 Programmable SOL Values
8:10 SOL’s Story Arc
12:25 SOL’s Architecture & Utility
17:30 SOL’s Economic Sustainability Model
19:20 SOL’s Triple Point Asset Thesis
25:15 Solana’s LSDs
28:48 Solana’s MEV Philosophy
33:56 End Game of Solana MEV
40:00 Ethereum vs. Solana
50:00 Market Cap, Values, & Layers Debate
1:00:15 Closing & Disclaimers
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RESOURCES
Austin Federa
/ austin_federa
157 - Will Solana Make It with Anatoly Yakovenko
• 157 - Will Solana Make...
Solana is Launching a Phone? | Co-Founders Anatoly & Raj
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The Philosophy of Ethereum According to Bankless' David Hoffman
solana.com/validated/episodes...
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Not financial or tax advice. This channel is strictly educational and is not investment advice or a solicitation to buy or sell any assets or to make any financial decisions. This video is not tax advice. Talk to your accountant. Do your own research. See our investment disclosures here:
www.bankless.com/disclosures

[@Bankless]

Timestamps: 0:00 Intro 6:50 Programmable SOL Values 8:10 SOL’s Story Arc 12:25 SOL’s Architecture & Utility 17:30 SOL’s Economic Sustainability Model 19:20 SOL’s Triple Point Asset Thesis 25:15 Solana’s LSDs 28:48 Solana’s MEV Philosophy 33:56 End Game of Solana MEV 40:00 Ethereum vs. Solana 50:00 Market Cap, Values, & Layers Debate 1:00:15 Closing & Disclaimers

[@myblockcrypto]

Austin killed it. Hats off to Bankless for letting him share too.

[@zorbavenger5083]

This guy speaks facts. Finally got someone setting the record straight with many of ethereums downfalls including relying on centralized layer2s to scale

[@adrianelsasserbriones4419]

Man the Solana guy is totally schooling David and I'm all for it 😂

[@eddyf4426]

Austin is a sharp dude, knows far more about ETH than David knows about SOL. Regardless, fascinating conversation, please more non speaking to the choir episodes. 🙏

[@MB-tz7by]

David met his match here. Austin is like the David of Solana. Austin might know more about ETH than David even, and def knows more about SOL. Love it.

[@kenmay5532]

Never argue with a dude wearing Glasses 👓

[@Tell_It_Right]

Crypto beefs are pretty funny.

[@MaxMohammadi]

People don't realize that SOL actually has excellent tokenomics

[@AhmadS-nm8ky]

interesting, can you explain about this? or any reference?

[@olgringold5142]

I loved this. Being able to be party to subject matter experts challenging each others' thesis is probably the most educational content possible in such a competitive industry.

[@GT-dw6lx]

Wow this guy Austin knows his stuff felt sorry for David I’m definitely going to buy Solana now after listening to that

[@astendavis6442]

This was awesome. Austin genuinely knows a lot about Eth, and hearing the differences in philosophies between Sol and Eth was interesting to hear. More Solana content, please

[@shizane101]

Given how fundamentally different the two chains are, it's a good idea to hold both to hedge your bets, imho. Side note, pretty impressive how deeply Austin understands both chains

[@asialounges]

100% right you are kind sir! Sol to edge ETH instead of L2s IMO and BTC to save the profits from both :)

[@astendavis6442]

Right? Was blown away by how much Austin knew. Solana has a good one on their side 👌🏼

[@paulburak256]

I started with BTC, went to ETH, then discovered SOL. I love ETH and SOL and think coexistence on friendly terms is the best take. Any ETH fan that only likes ETH is no different then Bitcoin maxis of the past

[@cwpv2477]

nah, eth was something novel based on decentralisation, sol is something cheap to enable smaller traders, which already existed with bsc and a bunch of others. but sol got more traction, so it is established for now.

[@st33Npuist]

1 million TPS @@cwpv2477

[@Stahlvin]

More Solana content pls. Thanks for interview.

[@MaxMohammadi]

Austin: **making perfect sense** David: "yeah, yeah, yeah..."

[@vladouritski4678]

Very deep and thoughtful conversation. Really enjoyed listening. Thanks guys

[@minty42069]

The Bankless hosts are very smart, but compared to the founder of Sol... Just feels like a whole different level of knowledge. I love to see it as a Sol maxi. Great podcast

[@BluegrassStoic]

Felt like the host was not listening very well or at least hearing the points he wanted to hear rather than letting the points be fully expressed and breath before responding. Wonderful talk great to hear the details without us vs them pissing contest, cause it doesn't need to be that way.

[@AHHHHHHH162]

Sol is so much easier to use and faster and cheaper than ETH

[@o.profit7831]

In all industries, throughout history, users will eventually migrate to the lowest cost alternative. Solana is the future, Eth is antiquated.

[@MB-tz7by]

Same thesis I have

[@higgsxboson]

One of the things not really touched on is the other 4 validators/ second consensus layer clients being developed intended to run parallel (not ontop of) the Solana mainnet also will have light client options which will enable validators to run on consumer grade hardware. One of these is scheduled to roll out before the end of the year which will greatly decentralize their network. Eth purists shouldn’t underestimate Solana.

[@Moms-Spaghetti]

More of these, please! This was an excellent listen. Solana is actually quite an interesting piece of tech.

[@Rawsavon]

It was nice to see to some informed feedback/pushback presenting counterpoints to David's more idealistic Eth narrative. The hope for what Eth becomes (evangelized by David and Bankless) may indeed come to pass, but it is certainly not guaranteed...and some would say not likely given the capitalistic tendency of the world as evidenced by the history of civilization. This was a good conversation (would not call it a debate) from two people that agree on a lot of things but that also have very different lines of thinking when it comes to human behavior.

[@laulaemoxa]

My first investment with her signals gave me the assurance that has made me invest without the fear of losing, I got 3 of my friends into her guidance already, never encountered signals as good as hers, likewise the profits.

[@easydexter]

David that was a dope episode. I liked that things got a little heated and you both challenged each other on the ideas presented. One of my faves! But I'm an Eth and Sol holder so I knew I was going to love it.

[@RottieBull]

I listened to your presentation for informational purposes; however, I was lost most of the time. You guys are truly nerds and I applaud you! Thanks 😅

[@ganiberisha8849]

I like Eth , but I think Solana is the future for me. Great show,super smart and respectful debate.thank you so very much

[@modsosid5494]

solana has a bright future - vitalik

[@ayetteyhadjor8834]

Considering how often you were interrupted, Austin, you did a formidable job, I am definitely a fan now. Thank you.

[@GazP007]

What a great interview. Sol and Eth bull in the house 👌🏻

[@CryptoSteve-O]

Great video, guys! A lot of people are sleeping on Solana right now...ETH and BTC maxi's continue to spread hate and FUD on Solana....but they fail to mention the SOLID fundamentals of Solana and why the outages happened and how Solana FIXED them (partially by raising fees because at the time they were near 0 and made DDOS attacks easy).

[@CryptoSteve-O]

I REALLY like a comment below...There's nothing wrong with being a fan of BOTH Ethereum and Solona....

[@jamesshaver2247]

I was an inexperienced trader and I lost over $30k when everything started Taylor tank.Not because I was in an exchange that went belly up .I was just stupid to hold and because that’s what everyone said .I’m still responsible. it just taught me to be a better investor now that I understand more of what could go wrong. it took me over two years of being in the market,I’m really grateful I find one source to recover my money at least $5k profit weekly.thanks so much Mrs Emily cofield

[@doriradden483]

I’m surprised you know her too I’ve been making alot of profit investing with her for few months now

[@Adams52523]

@@doriradden483 I invest with Mrs Emily too,She charges a 20%commission on profit made after every trading session which fair compared to the effort she put in to make huge profits

[@junichinamot]

Best Bankless edition I have seen. Austin was awesome.

[@cmgzfiveonezero]

This was great! I would love to watch more of these kinds of educated debates. Thank you Bankless team! ❤

[@btfdx]

Austin is one impressive guy. Followed ! (on twitter)

[@OldManBarny]

David is so much better on his own. I know he loves his ETH but is much more open to investigating other chains. Ryan just has a face on him when you say anything other than ETH.

[@CMD8560]

Facts Ryan face starts twitching when you mention anything other than ETH 😂😂😂

[@inspirational_clips]

solana is ethereum in 2019 from a risk/reward perspective

[@o.profit7831]

Agree.

[@campeon]

talking whos network is more centralized... love it, it's time to be fair and admit that all are on its way to decentralization..... but they are at the start

[@kryptoknights9]

I’m nontechnical and this episode is very insightful. Thank you both for sharing!

[@duynguyen6802]

This is what I want to see, different perspectives, a different views. Both the host and the guest are amazing. The little "rap battle" is fun to hear. Salute for Austin for your knowledge and calm, tks Bankless for sharing this with no hate and cut. I change my view about your channel after this video.

[@snowbrdrcali]

David is intelligent and well spoken, but Austin is just elite-level smart. Every time David would get schooled by Austin, David's response is always "Its on the road map" which means Eth doesn't have it yet but hopefully it will come in the future. Basically Ethereum is constantly trying to copy/mimic Solana's already established technology. Lastly, Austin makes a point to compliment some of Ethereum's better qualities, but never does David acknowledge anything positive about Solana. Hey David, just so u know, Solana is 100x faster than Ethereum, and transactions are 1000x cheaper. Mic drop.

[@Tofucapitalist]

David didn’t get in early and also isn’t technical or educated at all in the space. The only thing David did early was setup his podcast before many other “thought leaders” did, and good for him but listening to bankless now in 2023 is just so painful.

[@Crypto_Bird]

Eth was almost unusable and the gas fees was out of control from the Pepe pump, and that was the bear market. Mass adoption doesn't want to pay more fees than traditional banks. Austin is a smart guy, Solana has a smaller cap but is way newer, but I can see Solana being the future.

[@aai2184]

Super interesting convo. Thanks Bankless Team.

[@ScottHenning]

Great conversation! Love the push back on both sides!

[@K_AppDev]

Great hosting work. Thinking an Eth vs Sol core dev faceoff would have been a ideal to debunk the misconceptions on both sides. This seemed to skim the surface of the big picture and the under the hood details.

[@markleontev2150]

The best episode ever.

[@forthepeople4880]

Wow, what a knowledgeable guy Austin is! Converting half of my ETH to SOL!

[@jb385]

Excellent and civil discussion. Thank you both!

[@chiefsgt]

A really interesting and informative discussion. Great thanks to both participants!

[@parkerle78]

Love this conversation David! Great stuff!

[@Snowmano42]

Super enjoyed this 👌 thanks bankless for opening up to Solana

[@lucasrohr2556]

Excellent episode. Love to see contrasting and pragmatic views on Eth and SOL. Austin is great

[@setoelkahfi]

This is the best episode so far.

[@xiety9694]

This is a good one, love seeing you guys go back and forth

[@Bigg_AG]

Good conversation, I guess the Eth community has blessed Solana with validation. Not sure what ritual was required behind the scenes but good for them. 😂😂

[@permaweave5104]

What a great discussion here... Austin, always a pleasure to hear your perspectives. David, it seems to me that your understanding of the technical and social aspects of the ETH ecosystem has improved significantly over the past few years. Keep up the good work friends.

[@BenHawkins18]

Great episode and discussion. Definitely made me think.

[@davidcoursey5041]

Austin Federa is a "future citizen" on a time travel visit to the status quo ~ like Ben Franklin's visit to Ireland.

[@o.profit7831]

Yeah he is one smart dude. If all the crypto founders had a draft, Austin would be the #1 pick. Sol is the coin to own.

[@bona.1993]

never thought i'd see the day when bankless has Solana on and have a decent, adult conversation. Why one or the either.. Why not both? Its okay to like ethereum and solana, they all have their pros and cons.

[@cwpv2477]

lik, phantom wallet being invested in by cia fund

[@diciplineisfreedom8384]

😂 eth maxi ^^^^ 😂😂😂

[@diciplineisfreedom8384]

I own both but it's undeniable that in this comparison, sol is the undervalued asset to make the most money 💰 🤑 💸 I dont want to be in one tribe that is stupid , open minds and open source for the win

[@cwpv2477]

@@diciplineisfreedom8384 Agreed, polka and cosmos are great chains also

[@cwpv2477]

@@diciplineisfreedom8384 nah I like cosmos and polka n monero as well

[@danielshutt3194]

BTC, ETH, SOL, The holy trinity!

[@Leoninmiami]

David, I've said some somewhat horrible things about you in the past. I'm not taking any of it back but, sending lots of respect your way for having this discussion at all. Particularly with someone as good a communicator and sharp as Austin is. Not even joking. Much respect. Looking forward to more of these from Bankless. Who knows?, I may even subscribe to the channel again.

[@MB-tz7by]

awesome discussion. would love to see more Solana discussions and not just be super ETH oriented

[@AnonDa]

Austin on another level here

[@cyna7980]

Clever and respected guest

[@google_silvershieldcollection]

Great content!! Love to hear more about Solana, thank you period

[@bentonframe9810]

This was amazing. Appreciate the debate!

[@oyacaro]

Great convo. cheers guys

[@RagGerRock888]

Currently, CSI is the single provider that operates Infura which is dependent on Amazon’s cloud servers. This makes Ethereum vulnerable to a single point of failure. Now that JP Morgan owns a significant stake of this infrastructure, they basically own Ethereum.

[@tesslieb4040]

You both have done an excellent job of explaining nerd stuff Thanks 🙏

[@kingz3315]

More Solana content I learned a lot on this one

[@ColMiCookie0]

Well done. 1) Not a 🍆📏 contest. 2) Not too spicy 3) Full of quality perspective. 4) Healthy debate.

[@csx9000]

Awesome video - good vibes throughout you love to see it

[@Walker956]

Eth maxis are so weird. Weirder than bitcoin maxis even.

[@christophehkg6056]

Kuddos to Bankless for running this show.

[@rahulrajendran2724]

thanks bankless u are not that useless , thanks for suggesting me validated podcast...

[@globaltravel196p]

Need to do more Solana episodes!

[@corynardis3005]

If only every presidential debate was conducted like this. Very well done and interesting perspectives. I do agree though after using some of the L2 protocols that there is no reason for a token, as they all use eth for gas fees except for Polygon

[@ianaital5897]

Great discussion!

[@AhmadS-nm8ky]

austin is very smart. Solana has a smartest people in crypto space

[@parkerle78]

So much information!

[@neoanderson1865]

This was a great episode

[@theusersol]

Good episode here guys

[@kellymillermusic7305]

Solana is thriving because the technology is superior to most blockchains and constantly improving. There's a reason why ASICs, Visa, Shopify and Helium are choosing to build on it. SOL as a token might behave in a different way from others like ETH and it's not a good comparison in every way. I say this as an investor in many different tokens and blockchains there will be a niche for each.

[@amoala1]

very helpfull this vedio thank you

[@dexterous187]

Sharding does not hurt the user experience.

[@diciplineisfreedom8384]

Such a good video ❤

[@Nuckleburgers]

Shared ✌🏾

[@urbanmonk67]

Having missed getting in on Eth early, I am so happy to see some of the misconceptions about Sol explained in such an intelligent matter of fact way.. refreshing!!! Sol will be a huge complement to Eth and make the user experience a plus..no need to have one over the other different tools for different jobs

[@scottdiamond3023]

i can feel the elightenment

[@suckit2u1]

Love it

[@raw-bot9251]

Bankless Brothers have realised SOL is going to be a winner soon...so shifting gears hahha welcome bros

[@jaimeaguirre4424]

Love Austin ❤

[@theonlyconstantischange123]

Great chat/debate think everybody can take something away

[@donTeo136]

All know if the profit is slim I'm in the red with eth and positive in Sol.

[@cwpv2477]

wrong thinking and how bro lookin at charts

[@chitownlew]

It is titled IS SOL MONEY but I never saw either guy try to answer that question. In fact, I never saw either guy even ask that question! Am I missing something? 🤔

[@EduardoLima]

David sounds very emotional

[@rockanoreg2648]

Best episode , i own both. Eth will make it but Sol will give more rewards and is more risk. Diversify peps

[@nathanaelries9783]

Can you run a permissionless validating node without KYC? If not, it's not even viable. What about slashing? Is decentralized slashing implemented yet? Or is slashing still controlled by a centralized entity?

[@BenHawkins18]

Great questions and concerns Nathan. You can run a solana validator with out KYC. There are no minimum stake requirements. There is no slashing on solana.

[@raw-bot9251]

Ethereum should launch as a token on top of SOL and abandon its slow, expensive chain. It's a drain

[@zoos_lol4106]

SOL > ETH in every aspect.

[@carter9947]

Ideology vs reality

[@jayay1771]

that was beautiful do it again it was like a parallel universe where Ryan was David's arched nemesis lol

[@ZkXBT]

We love both eth and sol, let’s bet on both