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Solana: Leading The Blockchain Race With Key Developments In The Past 48 Hours

Solana continues to dominate as the top Layer 1 blockchain in the market, with significant developments over the last 48 hours bolstering its position.

Stablecoins Surge on Solana

In a major move, Circle, the issuer of the USDC stablecoin, minted $250 million worth of USDC via its treasury wallet on Solana, sending ripples through the ecosystem. USDC now represents about 70% of the stablecoin supply on Solana, despite its share being only around 30% on Ethereum. Notably, PayPal’s PYUSD, launched less than two months ago, now makes up approximately 11% of Solana’s total stablecoin supply.

The dominance of USDC on Solana can be attributed to the collaborative efforts of Circle and the Solana Foundation, which have been actively incentivizing developers and integrating trading platforms. Additionally, Circle’s Cross-Chain Transfer Protocol (CCTP) on Solana has further improved USDC’s liquidity and usability.

On-Chain Metrics Show Strength

Solana’s Total Value Locked (TVL) has surged by 20% following recent market fluctuations. On August 4th, Solana’s perpetual DEX volume hit a record high of $1.78 billion amidst the market crash, with top decentralized exchanges (DEXs) like Jupiter Exchange, Drift Protocol, and FlashTrade leading the charge. DEX volume remained robust, exceeding $3.3 billion yesterday, with major players such as Orca, Raydium Protocol, and Phoenix Trade contributing significantly.

Notable DeFi Projects on Solana

Several DeFi projects on Solana have made headlines:

– Drift Protocol: Offering attractive stablecoin yields (up to 36% on PYUSD and 30% on USDC), it marked $1 billion in daily trading volume and introduced Ondo Finance’s USDY as collateral.

– Kamino Finance: Kamino Lend V2 saw an increase in the borrow cap for PYUSD to $4 million. Impressively, there was no bad debt during the recent turmoil, with over $4 million worth of collateral liquidated, marking it as the top growth lending protocol.

– Jupiter Exchange: Jupiter Perps witnessed the highest liquidation count on SOL, with its JLP Pool offering a 106% APR. The swap aggregator continues to perform well, and there’s speculation of a potential stablecoin launch with JUP supply reduction.

– Jito: Jito’s restaking module saw a steady increase in jitoSOL TVL, reaching 10.5 million SOL. The Maple Finance x Jito partnership and the skyrocketing MEV tips year-to-date (14,000 SOL or $1.9 million) are noteworthy.

Lastly, the SOL/ETH trading pair just reached a new all-time high, much to the delight of Solana and Ethereum holders alike.

Disclosure: This is not trading or investment advice. Always do your research before buying any Metaverse crypto coins.