- Solana surpassed Ethereum in daily network fee generation, generating over $2.54 million in fees in the past 24 hours compared to Ethereum’s $2.07 million, making Solana the fifth-largest fee-generating protocol.
- The surge in Solana’s fees is correlated with growing trading activity on its leading decentralized exchange, Raydium, which generated over $3.41 million in fees on the Solana blockchain in the past 24 hours.
- Nearly half (47%) of Solana’s monthly revenue came from activities related to memecoins, with the memecoin launchpad Pumpfun contributing approximately $2.95 million of Solana’s $6.17 million in fees over the past month.
Solana has recently seen a surge in popularity and adoption. The blockchain network is posing a viable threat to Ethereum‘s dominance in the crypto space. Let’s examine how Solana is gaining ground.
Solana Surpasses Ethereum in Daily Fees
Solana generated over $2.54 million worth of fees in the past 24 hours, surpassing Ethereum’s $2.07 million. This makes Solana the fifth-largest fee-generating protocol, showcasing its growing usage. The high fees correlate to increased trading activity on Solana’s leading DEX Raydium, which generated over $3.41 million in fees.
Solana Closing the Gap with Ethereum in Monthly Fees
Looking at monthly fees, Ethereum still leads with nearly $134.6 million over the past 30 days. However, Solana generated $613 million in the same period – about 45% of Ethereum’s total. Solana is quickly catching up as adoption increases.
Memecoin Mania Driving Solana’s Growth
A significant portion of Solana’s growth is attributed to the memecoin mania earlier this year. Over 47% of Solana’s monthly revenue came from memecoin transactions on platforms like Pumpfun. While risky, the memecoin craze attracted over $100 million in investments to Solana.
Conclusion
Through its scalability approach and growing ecosystem, Solana is posing a real challenge to Ethereum. With fees and activity surging, Solana is cementing itself as a leading smart contract platform. However, Ethereum still maintains an advantage in overall adoption. It remains to be seen if Solana can continue its rapid growth.
