According to Cointelegraph, Layer-1 blockchain Solana has once again achieved record-breaking network revenues, following a previous all-time high on Oct. 22. Data from Blockworks Research indicates that on Oct. 23, Solana generated approximately $8.7 million in economic value from network activity, an increase from just under $8 million the day before. This figure encompasses all revenue sources, including base fees, priority fees, and tips, among others.
Solana (SOL) has positioned itself as a formidable competitor to Ethereum, with the SOL token outperforming Ether (ETH) by around 600% since the beginning of 2023. The total value locked (TVL) on Solana has surged from less than $250 million at the start of the year to over $6.8 billion as of Oct. 24, according to DefiLlama. In July, Solana surpassed Ethereum in weekly total fees for the first time, recording approximately $25 million in weekly revenue compared to Ethereum’s $21 million, as reported by Blockworks Research.
The rise of Solana has been bolstered by a surge in celebrity coin trading, primarily on Solana-based memecoin platforms such as Pump.fun and Moonshot. Additionally, SOL is considered a strong candidate for inclusion in exchange-traded funds (ETFs) in the United States, following Bitcoin (BTC) and ETH.
On Oct. 21, Solana-based decentralized exchange Raydium outperformed the Ethereum network in 24-hour revenue, generating $3.4 million in fee revenue compared to Ethereum’s $3.35 million, according to DefiLlama. Ethereum is still recovering from a significant drop in revenue after the network’s March Dencun upgrade, which reduced transaction fees by approximately 95%.
Despite these challenges, Ethereum is projected to generate up to $66 billion in annual free cash flow by 2030, according to Matthew Sigel, VanEck’s head of digital asset research. Sigel noted that Ethereum processed roughly $4 trillion in settlement value over the past year and another $5 trillion in stablecoin transfers annually, positioning it as a major player in the financial ecosystem, comparable to networks like Visa.
