Solana (SOL) has achieved significant milestones, outpacing Ethereum (ETH) in total transaction fees and maximum extractable value (MEV) tips for the first time on a weekly basis. While Ethereum remains the leader in total value locked (TVL) with nearly $60 billion, Solana’s TVL has surged to $5.5 billion since early 2024, according to DefiLlama.
Solana’s Financial Milestones
Solana’s recent financial performance marks a significant achievement. For the week of July 22, Solana generated approximately $25 million in revenue, surpassing Ethereum’s $21 million. This marks the first time Solana has outperformed Ethereum in both total transaction fees and MEV tips on a weekly timeframe since its launch. Dan Smith, an analyst at Blockworks, highlighted this achievement, noting the substantial benefits for Solana validators and stakers during this cycle.
On July 28, Solana achieved another record by generating $5.5 million in daily revenue, the highest in three months. Smith explained that this revenue includes all forms of income for Solana validators, such as tips and MEV. According to Blockworks Research, 58% of Solana’s fee revenue came from MEV tips, while 37% was derived from priority transaction fees. The primary driver of this activity was spot decentralized exchange (DEX) trading.
Also Read: Solana ETF Approval Deadline Expected by Mid-March 2025
Solana vs. Ethereum: TVL and Protocols
Solana’s impressive revenue figures have been further emphasized by industry leaders. Mert Mumtaz, CEO of Helius Labs, noted in a post on X, “Solana just generated more revenue than Ethereum, Arbitrum, and Base combined. Good day, to be staking with Solana validators.” Dan Smith added that this revenue was solely from transaction fees, excluding tips.
Despite Solana’s achievements, Ethereum continues to dominate in TVL, with nearly $60 billion and the largest number of protocols at 1,135. However, Solana’s TVL has grown significantly, tripling to approximately $5.5 billion since the start of 2024.
Meme Coin Frenzy Boosts Solana’s Revenue
One of the key factors behind Solana’s revenue surge is the increased activity on its network, particularly driven by meme coin trading platforms like Pump.fun and Moonshot. These platforms have sparked a meme coin trading frenzy, significantly boosting Solana’s market presence. The trend began with tokens such as Bonk and evolved into a culture of meme coins named after public figures and celebrities.
However, the meme coin frenzy has also seen a decline in the value of many tokens. Cryptocurrency analyst Slorg noted that even the “best performing” celebrity meme coins are down more than 70%, with half down over 99% and seven others down more than 90% within a month of their launch.
Conclusion
Solana’s recent milestones underscore its growing influence in the cryptocurrency market. By surpassing Ethereum in total transaction fees and MEV tips for the first time, Solana has demonstrated its potential to compete with leading blockchain platforms. While Ethereum remains the leader in TVL, Solana’s rapid growth and the surge in network activity suggest a promising future for the blockchain.
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