SOL price grew nearly 100% in the first quarter of this year, with revenue increasing by 200% compared to the previous quarter. In terms of USD, quarterly total revenue grew by 597%. What other information do the other data provide us? The following information is from a research report by Messari, compiled and translated by PANews.
Financial Analysis:
Solana’s daily spot DEX trading volume increased by 319% to $1.5 billion. Solana has become a gathering place for retail traders and memecoin traders. Projects built on Solana raised $89.2 million in funding in the first quarter, surpassing the total funding of $2.5 million for the entire year of 2023.
Adoption:
The launch of the Token Expansion Kit provides token issuers with a set of configurable features. Stablecoin issuers, including Paxos, GMO Trust, and crypto-native projects like Photo Finish LIVE and Wen, have adopted the Token Expansion Kit. With the launch of the developer store Anza and the growth organization Colosseum, the Solana ecosystem has made significant progress in further decentralization.
Security and Decentralization:
Despite experiencing the first network interruption in nearly a year due to a bug in the legacy loader program, Solana’s network remains stable. The upcoming transaction scheduler and network upgrades will reduce spam and improve user experience.
Performance, Upgrades, and Roadmap:
The most notable development this quarter is the Token Expansion Kit, which provides a set of configurable features as part of the new SPL token standard. This eliminates the need for developers to build their own infrastructure or permissioned environments. Other planned upgrades include transaction scheduling and network upgrades.
Ecosystem Analysis:
Solana’s DeFi TVL increased by 232% to $4.9 billion, ranking fourth among all networks. The lending and yield protocol Kamino has become the top protocol in terms of TVL. DeFi trading volume also continued to grow, with daily spot DEX trading volume increasing by 319% to $1.5 billion. Telegram bots have become popular trading venues for retail traders, with Solana Telegram bot’s daily active addresses increasing by 573% to 45,000.
Liquidity Staking:
SOL staking rate decreased by 7% for the second consecutive quarter. However, the total staked value in USD increased by 71% to $70 billion, ranking second among all networks after Ethereum.
NFT:
Daily NFT trading volume increased by 57% to $7.6 million. The market share of Tensor increased by 9% to 71%, while Magic Eden’s market share decreased by 18% to 25%.
Funding:
Projects built on Solana raised a total of $89.2 million in funding in the first quarter. After a prolonged bear market, investment in Solana projects is picking up.
In summary, Solana continues to grow as a popular platform for retail and memecoin traders. The network has seen significant increases in trading volume, adoption, and funding. However, the increased network activity has led to congestion issues, which are being addressed in upcoming network upgrades. The Solana ecosystem is also becoming more decentralized with the launch of new initiatives and organizations.