Recent data shows a significant increase in on-chain fees within the decentralized finance (DeFi) sector, linked to the activities of various protocols.
Increase in DeFi Revenue
In recent months, the DeFi sector has demonstrated a monthly revenue increase of approximately 58%. In April, on-chain fees were around $366 million, but have since reached an all-time high (ATH) of $577 million.
PancakeSwap and Its Features
PancakeSwap, one of the notable DeFi protocols, has played a key role in this growth. The platform generated $275 million from its automated market-making services and yield farming mechanisms. Fees on PancakeSwap were charged at 0.25% per trade. The platform is actively expanding and recently announced the launch of its V3 liquidity on the Solana blockchain, which may increase its market presence.
Trends in Memecoin Trading
The memecoin Pump.Fun has also gained attention by generating $63.61 million in fees over the past 30 days. Despite criticism from notable figures like Vitalik Buterin, Pump.Fun continues to demonstrate growth. This highlights the increasing popularity of memecoins and bolsters competition among DeFi protocols aimed at meeting user needs.
The rise in on-chain fees within the DeFi sector indicates growing innovation and acceptance of decentralized financial platforms. PancakeSwap and Pump.Fun stand as prime examples of successful adaptation and development amid heightened competition.
