Originally published on: October 24, 2024
Solana, the Layer-1 blockchain, continues to shatter records in terms of network revenues. Recent data from Blockworks Research revealed that on Oct. 23, Solana generated an impressive $8.7 million in economic value from network activity, surpassing the previous day’s earnings of just under $8 million. These figures include revenue sources like base fees, priority fees, and tips, showing the platform’s strong performance.
As a serious competitor to Ethereum, Solana’s SOL token has outperformed Ether by a remarkable 600% since 2023. The total value locked (TVL) on Solana has soared from less than $250 million at the beginning of the year to over $6.8 billion as of Oct. 24, as reported by DefiLlama.
In a significant milestone, Solana exceeded Ethereum in weekly total fees back in July, raking in approximately $25 million compared to Ethereum’s $21 million. This success has been fueled by the popularity of celebrity coin trading on Solana-based memecoin platforms like Pump.fun and Moonshot.
Moreover, Solana’s rise to prominence has positioned SOL as the next potential candidate for inclusion in exchange-traded funds (ETFs) in the United States, following Bitcoin and Ethereum.
Noteworthy achievements for Solana include its decentralized exchange Raydium outpacing the Ethereum network in 24-hour revenue on Oct. 21. Raydium recorded $3.4 million in fee revenue during the day, surpassing Ethereum’s $3.35 million, as per DefiLlama data on daily revenue from protocol fees.
While Ethereum is still recovering from a decline in revenue due to a network upgrade in March, projections indicate that it could generate up to $66 billion in annual free cash flow by 2030. This optimistic outlook underscores the potential growth and scalability of Ethereum in the coming years.
Solana’s exceptional performance in fee revenue and network activity highlights its position as a formidable player in the blockchain space, challenging established platforms like Ethereum. With its continued growth and innovative solutions, Solana is poised for further success in the future.
