Solana Hits its First $1 Billion Milestone in Total Value Locked (TVL)

Solana’s impressive scalability has USDC supply on the blockchain surpassing 500 million, second only to Ethereum USDC.

While DeFi is enjoying a re-pricing following Ether’s new highs, the total value locked in the entire ecosystem has gone past $100 billion and aiming for a $150 billion mark now.

Ethereum no doubt remains the leading layer 1 blockchain with almost $90 billion TVL followed by Binance Smart Chain’s (BSC) $56 billion. ETH -5.94% Ethereum / USD ETHUSD $ 1,689.43
Volume 17.48 b Change -$100.35 Open $1,689.43 Circulating 121.89 m Market Cap 205.93 b
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BNB -3.43% BNB / USD BNBUSD $ 315.93
Volume 1.15 b Change -$10.84 Open $315.93 Circulating 161.34 m Market Cap 50.97 b
7 mon SEC Rejects Another Spot Bitcoin ETF, Binance Announces New System to Remove BNB from Circulation 7 mon BitMEX Launches BMEX Token for Active Users, US Not Eligible for Airdrop 7 mon Crypto Outliers: Terra (LUNA) Amasses $16.9 Bln & Surpass BSC, Avalanche (AVAX) Aims for 1 Million Daily Transactions

Coming at the third spot is Solana which has now surpassed $1 billion. The TVL on Solana (SOL) was highest last week at $1.33 billion, up from just under $150 million two and a half months back, as per Solana Project.

This rapid growth of the Solana ecosystem is thanks to its fast and scalable decentralized applications. This year's 2,281% uptrend in SOL prices to about $46.90 so far is evidence of the growing traction this public blockchain is seeing.

Solana caught the public eye after Sam Bankman-Fried’s crypto exchange FTX chose to build the decentralized derivatives platform Serum (SRM) last summer.

It has been defined as a blockchain that can “process 10,000 times as much as Ethereum” and is “1,000,000 times cheaper.” This is possible due to the adding of Proof-of-History to an underlying Proof-of-Stake consensus mechanism. Proof-of-History enables validators to compute the network state themselves, thus saving on cross-validator communication.

Fast transactions at relatively low cost are pushing the users from the second-largest network to Solana, just like it has been happening with BSC.

This has helped USDC grow on the blockchain with more than $500 million in circulation today, second only to Ethereum USDC, stated Circle on Tuesday. USDC was first integrated with Solana in late October.

Despite its mainnet launching just a year ago, “network fundamentals made it a natural choice for fast, secure, and scalable USDC. Solana is a public blockchain that delivers impressive scalability while maintaining a high degree of decentralization and security,” said the Circle team.

The biggest project on Solana currently is Raydium (RAY) which alone accounts for about $900 million of all the TVL on the Solana project, representing a whopping 89% share. Together with Serum DEX, which comes in second place with just over $400 million in TVL, they both account for nearly all the TVL. SRM -6.90% Serum / USD SRMUSD $ 0.97
Volume 50.2 m Change -$0.07 Open $0.97 Circulating 263.24 m Market Cap 254.78 m
10 mon South Korea’s Largest Crypto Exchange Operator Raises $85 Million at an $8.65 Billion Valuation 10 mon More than 65% of South Korean Crypto Exchanges to Shut Down Once FSC Deadline Hits 11 mon 76.8% of SOL Supply is Locked to Secure the Network and Not Available for Sale in the Market
RAY -6.06% Raydium / USD RAYUSD $ 0.83
Volume 12.73 m Change -$0.05 Open $0.83 Circulating 127.43 m Market Cap 105.97 m
10 mon DeFi Rallies on China Ban as Chinese Turn to Decentralized Projects, Crypto Prices Recover to Pre-ban Levels 11 mon Bitcoin Showing A “Good Risk/Reward Setup,” ETF to Play A “Large Part” in the Market Sentiments 11 mon South Koreans Turn to Serum (SRM) As Solana (SOL) Ecosystem Pumps

Another Solana-based new project making the rounds on Crypto Twitter (CT) is Step Finance which recently launched its STEP token. The protocol amassed $100 million in liquidity in just two days. STEP -1.88% Step Finance / USD STEPUSD $ 0.04
Volume 183.11 K Change $0.00 Open $0.04 Circulating 4 m Market Cap 164.29 K

The data aggregator that provides analytical dashboards for yield farmers aims to be the go-to DeFi aggregator for all tokens launched in the Solana ecosystem.

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