Solana has once again outperformed Ethereum in the decentralized finance (DeFi) trading arena, this time spurred by the anticipated release of the Jupiter token.
In a typical to crypto markets turn of events, Solana’s decentralized exchange (DEX) and cetnralized exchange trading volumes eclipsed those of Ethereum’s DEXes for a brief period in December, largely fueled by the frenzy surrounding meme cryptocurrencies. This phenomenon has repeated itself, coinciding with the upcoming Jupiter token airdrop.
We sit down to investigate what exactly is happening in the Solana world, as well as it’s latest meme coins and price action.
SOL based DeFi activity
Recent data from DeFi Llama indicated that, as of last Sunday night, the 24-hour trading volume on Solana’s DEXes surpassed that of Ethereum’s, registering approximately $705 million against Ethereum’s $698 million.
Although Ethereum has regained its lead at the time of this report, the margin remains narrow. Ethereum’s DEXes show a trading volume of around $742 million over the past 24 hours, whereas Solana maintains a consistent volume close to $705 million. On a weekly scale, Ethereum maintains a substantial lead with $8.9 billion in trading volume, outstripping Solana’s $4.5 billion. During this activity, Solana price was hovering at $111 on Gate.io, a 5% increase from last week.
Despite Ethereum’s rebound, these brief instances of Solana’s dominance underscore the growing competition Ethereum faces. Solana’s network, known for its lower transaction costs and higher speeds, gained attention in December when the trading of meme tokens such as BONK and Dogwifhat (WIF) surged.
The current focus is on Jupiter, a prominent Solana-based decentralized exchange aggregator. Its native token, JUP, is scheduled for release this Wednesday, with nearly one million wallets poised to receive a portion of the JUP tokens.
CoinGecko data shows that trading volume on Jupiter momentarily overtook Ethereum’s leading DEX, Uniswap V3, last Sunday. However, this situation reversed by Monday morning, with Uniswap V3 reporting over $629 million in trading volume, compared to Jupiter’s $571 million on Solana.
The specifics of eligibility for the upcoming Jupiter airdrop are somewhat ambiguous. The protocol had captured a snapshot of early users on November 2, declaring around 955,000 wallets eligible for the drop. Jupiter also has plans for additional airdrops in the future.
Jupiter’s platform was recently utilized for the WEN meme coin distribution, priced at $0.000008, serving as a preliminary test before the JUP launch. The WEN airdrop was available to over a million wallets, yet more than 280 billion WEN remained unclaimed by the conclusion of the event on Monday morning.
Other ways to get airdrops
Gate.io’s “Startup” section represents a unique platform for cryptocurrency enthusiasts and investors alike. This section of the exchange is specifically designed for users to participate in a sign up-based service, offering access to some of the most promising and high-quality airdrops in the crypto market.
These airdrops are meticulously selected and vetted by the experienced team at Gate.io, ensuring that participants receive only the best drops in town. This feature not only adds value by exposing users to new and potentially lucrative tokens but also provides a level of assurance and convenience by filtering out less promising options.
Solana in the spotlight
Solana’s recent surge in popularity can be attributed to several key factors, foremost among them being its exceptional transaction processing speed and low fees. Built to facilitate high-speed blockchain applications, Solana can handle thousands of transactions per second, significantly outpacing many of its competitors. This efficiency is a major draw for both developers and users, leading to an increasing number of decentralized applications (dApps) being built on its platform.
Real-world use cases of Solana are diverse and growing. It’s being used in sectors like decentralized finance (DeFi), where its speed and cost-effectiveness enable smoother and more economical transactions. In the world of non-fungible tokens (NFTs), Solana’s platform supports a more sustainable and faster trading experience. Furthermore, it’s finding applications in gaming, where its ability to handle numerous operations simultaneously enhances the performance of blockchain-based games. These practical applications, combined with its technical strengths, are key reasons behind Solana’s escalating popularity in the blockchain community.
Meme coin world
The recent hype around Solana-based meme coins has been quite remarkable, reflecting a unique fusion of cryptocurrency and internet culture within the blockchain ecosystem. Solana, recognized for its high-speed and efficient blockchain technology, has become a fertile ground for these meme coins, which are more than just digital currencies; they often represent a playful and cultural aspect of the internet.
Among the various meme coins on Solana, coins like BONK, STONK, and WIF have emerged as key players, capturing significant attention in the investment and enthusiast circles. These coins have demonstrated a mix of rapid growth, market interest, and community engagement, indicative of the broader trend in the evolving cryptocurrency market.
For instance, STONK, also known as Stonkwifwings, has seen a notable surge in value, demonstrating the volatile yet potentially lucrative nature of meme coins. The token’s approach, including a no-tax policy on transactions and a strategic airdrop plan, aims to foster long-term engagement within the Solana community.
BONK, another prominent Solana meme coin, marked its debut with an innovative distribution strategy, quickly gaining traction and value in the market. Its listing on major cryptocurrency exchanges further enhanced its legitimacy and accessibility, reflecting the interconnected nature of the Solana ecosystem and the impact of strategic marketing in the crypto space.
Dogwifhat (WIF) stands out for its unique concept, mirroring the whimsical nature of meme coins. It has shown impressive market performance, indicative of growing investor interest and the potential for rapid growth in a short period.