Originally published on: November 01, 2024
An uptick in institutional investments in Solana-native blockchain applications has taken the crypto world by storm in the third quarter of 2024.
According to recent data, a whopping 29 Solana-based decentralized applications (DApps) managed to secure a total of $173 million in funding during this period. This represents a substantial 54% increase compared to the previous quarter, setting a new record for Solana in terms of investment.
Despite a decrease in the number of funding rounds by 37%, the substantial funding amount reflects a renewed institutional interest in crypto projects using the Solana blockchain. This data comes from a report by Messari Protocol Services, shared exclusively with Cointelegraph.
Institutional analyst at Messari Protocol Services, Matthew Nay, commented on the rising total funding amount and its implications for the crypto market, signaling a resurgence of interest in crypto projects.
This surge in institutional investments comes on the heels of Solana surpassing Ethereum in daily fees, drawing attention to its monolithic scaling approach that promises enhanced transaction throughput and reduced fees without relying on layer-2 blockchains.
The rise in Solana’s fee generation during the third quarter further solidifies its position as a leading layer-1 blockchain. The average daily fee payers and new fee payers witnessed significant growth, indicating a positive trend in network profitability.
As Solana continues to grow, it has also emerged as the third-largest blockchain by tokenized treasuries, showing promising signs of continued institutional growth. With major players like Franklin Templeton planning to launch a money market fund on the network, the future looks bright for Solana’s tokenized treasuries.
Additionally, global banking giant Societe Generale is set to launch a euro-denominated stablecoin on Solana, further fueling the blockchain’s growth trajectory. The new stablecoin, already valued at over $37 million on Ethereum, showcases the increased interest in diversified blockchain ecosystems.
With these recent developments, Solana is poised to attract even more institutional investments and cement its position as a formidable player in the crypto market. Stay tuned for more updates and insights on this exciting journey of Solana’s blockchain revolution.
