Solana remains highly active on DEX despite a decline in meme trading

2025-03-07 06:41:12

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A March 5 VanEck report notes that Solana’s share of total on-chain DEX grew to 43% in February, temporarily surpassing the combined DEX volume of Ethereum and its Layer 2 scaling solutions. However, this dominance has waned somewhat: in March, Solana’s market share dropped to around 30%, and the Ethereum ecosystem now accounts for around 40% of the market.

Despite the decline, Matthew Siegel, head of research at VanEck, noted that Solana’s DEX trading volume He emphasized that it remains competitive. Solana’s trading activity has suffered after a series of high-profile coin #meme scandals that have shaken investor confidence. VanEck reports that remittances of stablecoins, a key element of trading on the chain, are down 80% from January levels. That’s 80% less than One of the most significant incidents occurred on February 14, when the Libra meme coin, supposedly endorsed by Argentine President Javier Millay, wiped out $4.4 billion of its market capitalization within hours of its launch. Similarly, traders lost about US$2 billion across 800,000 wallets on the notorious Official Trump meme coin (TRUMP) linked to U. S. President Donald Trump. The trading of meme coins is primarily conducted on Solana’s Pump. fun. linked platform and was a major driver of #blockchain revenue, accounting for about 80% of the network’s revenue. However, activity has plummeted, and the number of new token launches on Pump. fun has dropped by more than 80% since January. While the meme coin sector is struggling, Solana’s #DeFi ecosystem remains resilient. Raydium, the most popular DEX on the blockchain, still boasts a value lock of more than $1.3 billion (TVL), according to DefiLlama data as of March 6. VanEck reports that #Solana is the current cryptocurrency market. In 2024 alone, its token value grew 191%, revenue on the blockchain (excluding MEVs) increased 700%, and the supply of stablecoins grew 291%. One of the main drivers of Solana’s growth has been meme trading, Van Eck noted, adding that Pump. fun generated more than $577 million in commissions during the year.

PAWS and its 80 million After a huge user base migrated to Solana, the popularity of the network has increased dramatically. Read us at: Compass Investments #GlobalCrypto

SOL-4.57%

MEME0.28%

ETH-1.82%

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