🧠 1. The fundamental reason for low ETH returns

1. ETH is a 'risk-off' asset (similar to government bonds in the crypto space)

Ethereum is already relatively mature, with a stable TVL (Total Value Locked) and ecosystem.

The more stable the asset, the lower the market expected return, because you bear less risk.

Staking ETH (through Lido or Rocket Pool) currently has an annualized yield of about 3.5%~4.5%, mainly from validator rewards and Gas fee sharing.

2. The widespread adoption of liquid staking has depressed yields

Many people are currently staking ETH on platforms like Lido, Coinbase, Binance, etc., with very low barriers to entry and significant capital inflow.

Supply has increased, but the block rewards are fixed, resulting in a smaller cake for each staker.

3. DeFi returns have significantly decreased

Platforms like Uniswap, Aave, and Curve have passed the 'super-profit' phase, and returns have returned to rational levels.

Large investors and institutions have already participated, arbitrage and stablecoin strategies are highly competitive, and natural returns have diminished.

🔥 2. Reasons for high returns on Solana

1. The Solana ecosystem is still in the 'new user acquisition' phase

Many projects are in the early cold start phase and need to use high returns to attract liquidity.

Similar to the gameplay of the early DeFi Summer, it is being replayed on Solana.

2. The design of inflation rewards is different

Solana's staking rewards can reach 7%~10%, because its token's annual inflation rate is inherently higher than that of ETH.

Solana has not fully implemented the fee burning mechanism, leading to more inflation release.

3. High risk → high return

Solana's historical downtime issues and ecosystem stability are not as good as ETH, and users take on these risks with returns as subsidies.

Financial management yields high returns, but you also have to bear the risk of potential scams or project collapses.

4. Liquid staking and DeFi are booming

Projects like Jito, Marinade, Kamino, etc., further increase returns through strategy combinations, MEV extraction, automatic reinvestment, etc.

These mechanisms are more active on Solana because the chain itself is fast, and Gas is cheap, making it very suitable for automated strategy execution.

So how should we choose?

If you are a conservative investor: ETH is more suitable for long-term holding + staking, stable but with low returns.

If you are an aggressive player: The Solana ecosystem is suitable for capturing high returns, but you need to choose the right projects and manage risks well.

Portfolio suggestion: Use ETH as a base, take a portion to participate in Solana's 'high yield strategy pools', such as Kamino, Jito, MarginFi, etc., but don't go all in, be cautious of risks.