- Solana has surged to the forefront of the crypto fee rankings, with five of its DeFi protocols achieving record-breaking revenues.
- Meanwhile, Solana’s SOL hit a two-year high, with market capitalization stopping at $114.86B despite inflation concerns.
Solana has taken the lead in the resurgence of memecoin mania while at the same time solidifying its position as a big player in the cryptocurrency landscape. This comes after Solana-based decentralized finance (DeFi) protocols recorded remarkable activity in the past 24 hours. Notably, these De-Fi’s acquired the top 5 amongst the 10 highest earning protocols.
One DeFi commentator Patrick Scott, highlighted data shared by DefiLlama via an x post showing that 5 of the top 10 protocols by fees in the last 24 hours were on Solana.
Due to a memecoin frenzy, over the past 24 hours, half of the top 10 crypto protocols by fees generated were on Solana.
This is either a massive top signal or radical shift in market activity. pic.twitter.com/iKAbqSYx6j
— Patrick Scott | Dynamo DeFi (@Dynamo_Patrick) November 17, 2024
Key Solana protocols, including the automated market maker Raydium, liquid staking platform Jito, and the memecoin launchpad pump.fun, witnessed record-breaking fee revenues.
On Nov. 17, Raydium notched $11.3 million in fees, a record for the protocol. Similarly, Jito generated $9.87 million in fees, marking its third-highest earnings day. Additionally, Pump.fun earned $1.65 million.
On the other hand, the trading bot Photon, optimized for Solana memecoins, also surged in popularity, ranking as the seventh-highest earner with $2.36 million in fees.
SOL Token Hits Two-Year High
Solana’s native token, SOL, has been on a bullish streak since the bull cycle began, surging past $242, its highest price since November 2021. At the time of writing, Solana’s SOL is swapping hands with $243.30 marking a 3,69% surge in the last 24 hours.
Additionally, the token has also surged by 12.39% and 57.41% in the past week and month respectively.
Memecoin mania persists
The memecoin frenzy continues as Peanut (PNUT) skyrockets 2,700% in just two weeks, reaching a staggering $2.4 billion valuation. As we earlier reported Elon Musk’s endorsements on X have ignited this meteoric rise.
Meanwhile, Dogwifhat (WIF) is another Solana-based memecoin that’s caught fire, hitting a six-month high of $4.19 after its Coinbase listing.
While concerns about supply inflation persist, Solana’s market capitalization has reached a new high of $112 billion, marking a substantial 44% increase from its previous peak in November 2021. This growth is primarily driven by the protocol’s token issuance schedule, which currently inflates the supply at a rate of 4.9% annually. Importantly, this rate is designed to decrease by 15% each year, ensuring long-term price stability.
While Ethereum has long been the dominant platform for decentralized applications (dApps)and Solana’s greatest rival, Solana’s superior scalability and efficiency are attracting developers seeking to build high-performance projects.
However, Solana’s journey has not been without its hurdles. Network instability issues have occasionally plagued the platform, raising concerns about its long-term reliability.
Ethereum, on the other hand, benefits from a larger developer community and a wider range of applications. Its network, though more established and secure, faces scalability limitations that could hinder its future growth.
Meanwhile, at the time of writing, Ethereum is swapping hands with $3,063.86 marking a 16.21% surge in the past month.
