Solana, a layer-1 blockchain, has recently seen a significant increase in its total weekly fees, surpassing both Ethereum and Binance Coin (BNB) in the process. Crypto researcher Dan Smith revealed that Solana hit $25 million in total fees last week, compared to Ethereum’s $21 million. This growth marks the first time in history that Solana has surpassed Ethereum in total transaction fees and MEV tips on a weekly basis. On July 28 alone, Solana recorded $5.5 million in total fees, the highest level in three months.
Most of the fees on the Solana blockchain are coming from spot decentralized exchange (DEX) trading. The network has also emerged as a major hub for decentralized applications (DApps), with its total value locked (TVL) surpassing $5.5 billion. Despite having fewer protocols created on its network compared to Ethereum, Solana has seen significant growth, especially with the rise of Solana-based meme coins, which collectively have a market capitalization of $9.3 billion.
The growth in network usage has raised speculation about whether Solana could live up to its nickname as the “Ethereum killer.” While Solana’s fast network speeds and low gas fees make it an attractive alternative, Ethereum’s first-mover advantage in the smart contract industry has presented challenges. However, Smith believes that Solana’s recent achievements are “absolutely massive” and demonstrate its potential as a strong competitor in the crypto space.
In addition to network growth, Solana’s native token, SOL, has also been on a major bull run, trading at $183.90 at the time of writing. This recent rally has pushed SOL to surpass BNB and become the fourth-largest cryptocurrency by market cap. With a market cap of $85.4 billion, Solana is now slightly ahead of BNB, which has a market cap of $84 billion. While flipping Ethereum, with its $400 billion market cap, may be a challenge, some analysts speculate that Solana could potentially reach $1,000 in the future.
Overall, Solana’s recent achievements in total fees, market cap, and network usage highlight its growing prominence in the crypto space. With its focus on fast speeds, low fees, and a thriving ecosystem of DApps, Solana is positioning itself as a strong contender against established players like Ethereum. As the competition between blockchain networks intensifies, it will be interesting to see how Solana continues to innovate and attract users and developers to its platform.
