Solana has reached a historic milestone, exceeding $70.9 billion in monthly trading volume across its decentralized exchanges (DEX). This significant achievement is fueled by the growing craze for memecoins in the crypto space.
A Surge in Trading Activity
Solana's decentralized finance (DeFi) sector is experiencing explosive growth, with weekly trading volumes hitting a staggering $41.39 billion. This represents a sharp increase from the previous period, which saw volumes of $18.1 billion. Trading activity peaked on November 12, with daily volumes reaching $6.88 billion. Since then, Solana's DEX volume has consistently exceeded $5.7 billion daily, outpacing Ethereum's DEX ecosystem, which processed $14.27 billion in trades over the same period.
Raydium Leads the Charge
At the heart of this surge is Raydium, Solana’s leading decentralized exchange. The platform is responsible for 69% of Solana's total DEX trading volume, with an incredible $27 billion in weekly trades—an increase of 127% from the previous period. Raydium's growth has been closely linked to the success of PumpFun, Solana’s memecoin launchpad, which has helped propel tokens like PNUT and GOAT to prominence. Not only Raydium, but Orca, another Solana-based DEX, also saw a massive 169% increase in its weekly trading volume, reaching $7.5 billion.
Memecoin Mania Fuels Growth
PumpFun has experienced a surge in daily fee revenue, bringing in $1.65 million, making it one of the top 10 web3 protocols by this metric. As memecoin speculation rises, Raydium has also benefited from increased transaction fees, generating $11.79 million in 24-hour fees. This growth in activity coincided with a rise in the price of Solana's native token SOL, reaching a price of $242, nearing its all-time high of $259. Consequently, Solana’s market capitalization has risen to $115 billion—44% higher than its previous all-time high of $77 billion in November 2021.
Solana's success in the decentralized exchange space is not just about DEX volume; it also reflects a broader trend of increased activity across the Solana ecosystem. Tokens like Dogwifhat (WIF) are gaining significant traction and are being listed on major exchanges like Coinbase, positioning Solana as a true hotbed in the DeFi world.
