Key Takeaways
- Solano blockchain achieved an impressive milestone by overtaking Ethereum.
- Solano has a year-on-year growth of 83% starting from July 2024.
- Solana network expanded in Asia and became the top ecosystem for developers in India.
- Solano became the second largest ecosystem in other continents and especially in countries like the US, the UK, and Canada.
- The Solano ecosystem provides low-fee use cases and constitutes 81% of all the decentralized exchange(DEX) transactions.
- In 2024, 1.7 million unique wallets transacted Solana. This is seven times more than that of the next biggest chain.
- Solano’s capability to compute 65,000 transactions per second with a low charge of under 0.01% brought the token into the limelight.
- Solano has a DEX volume of $30.70 billion compared to $25.97 billion of Ethereum.
- Innovative projects such as Magic Edan(NFTs), and Serum(Defi) are based on Solana, which indicates its potential to become an innovation hub.
Solano token recorded an impressive milestone by overtaking Ethereum. The increased adoption of blockchain technology leads to competition between the two giants. Solano became the leading ecosystem for the new developers this year. This marked an end to the eight-year streak in the particular metric since 2016.
The reports suggested that Solano will become the number one ecosystem for developers in 2024. This is the first time any other top layer1 network has bypassed Ethereum for new developers since 2016. The reports say that 7,625 new developers built on Solana this year.
Solana became the fastest-growing ecosystem in terms of monthly active developers. The token has a year-on-year growth of 83%. The growth of Solana took off in July 2024. At the same time, it surpassed Ethereum to become the number-one ecosystem for new developers.
The network expanded in Asia and became the top ecosystem for developers in India. In other continents and especially in countries like the US, the UK, and Canada it was the second-largest ecosystem.
The Solano ecosystem provides low-fee use cases with 81% of all the decentralized exchange(DEX) transactions. Solana constitutes 64%of all NFT mint transactions. In 2024 Solana transactions will be done by 1.7 million unique wallets. This is seven times more than that of the next biggest chain.
Solano came to the limelight after creating headlines because of its ability to compute 65000 transactions per second with a low charge of under 0.01%. The technical advantage and growing ecosystem paved the way to achieve this. This created a challenging environment for the Ethereum ecosystem.
The high throughput of Solana makes it one of the top contenders for achieving the crypto crown. The proof of history and proof of stake are combined by Solana to achieve unparalleled transaction speed. This feature makes the Solana blockchain ideal for high-volume applications such as gaming and decentralized exchanges.
The developers and users are attracted to Solana mainly because it is an affordable blockchain network. This expanding ecosystem is the basis of many innovative projects such as Magic Edan(NFTs), and Serum(Defi). This can be considered as an indication of its potential to become an innovation hub.
The major challenge faced by the Solana network is reliability. The scalability of the project is also under doubt due to the outages and downtimes. The centralized approach of the Solana blockchain is criticized as the Ethereum validators network is more decentralized when compared to Solana.
Solano witnessed an explosion of DeFi activity. This explosion is happening because the token surpassed Ethereum in the on-chain settlement volume. This year, Solano settled more than $574 billion across the DEX. The network also became one of the fastest-growing ecosystems in terms of Total Value Locked outside Ethereum. This is achieved by surging from 3% to 25% of on-chain capital.
The analysis provides a bullish outlook for the network. Asset managers suggest that the Solano token has the potential to continue its growth in 2025. As per the predictions, the series should shift into the SOL network to complement the dominance of the network among meme coins.
The thriving DeFi ecosystem of Solana overtook Ethereum in terms of trading volume multiple times. This volume is created mainly from the thriving meme-coin ecosystem as traders started investing in meme coins on this network.
Solana is still leading at the time of writing in both the 24 hours and in the last 7 days. In the last 24 hours, the recorded Dex volume is $4.13 billion. In the meanwhile Ethereum recorded a Dex volume of $3.17 billion. Solano recorded a DEX volume of $30.70 billion compared to $25.97 billion of Ethereum.
The interplay between established giants like Ethereum and Challengers like Solana determines the future of Defi and the Cryptocurrency landscape. The crypto space is always intertwined with such dynamic interactions, which drive the evolution of financial technologies.
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