Solana “beats” Ethereum in terms of stablecoins, SOL price...

Solana recorded the highest stablecoin transfers compared to all other networks
However, interest in Solana's DeFi sector and NFTs has declined

Despite Solana [SOL] Interest in the network has not waned in the slightest, even as the ecosystem has recorded significant growth over the past few months.

Solana maintains dominance

According to the new VISA dashboard, Solana has recorded significantly more stablecoin transactions than any other blockchain, surpassing both Ethereum and other popular networks. In March 2024, Solana captured his 42.3% of the market share, compared to only 1.9% in the previous year. Solana's fast transaction speeds and low fees make it ideal for high-frequency trading, contributing significantly to stablecoin volume.

But while Solana is a leader, the nature of the deal remains unclear. A large portion of these transactions may come from bots and may not reflect real users on the Solana network. Additionally, Solana's interest in the meme coin space also directs a large portion of its activity towards the network.

Source:X

However, despite the large issuance of stablecoins, the network failed to see growth in the DeFi sector.

In fact, AMBCrypto's examination of Artemis' data reveals that Solana's TVL (Total Value Locked) is decreasing. This means that users are losing interest in Solana's DeFi service, which could impact the network's overall revenue.

Source: Artemis

Trouble ahead

Solana's NFT sector also suffered during this period.

For example, in the last month, the Solana Floor NFT Blue Chip Index has dropped significantly. This indicates a significant drop in interest in popular Solana NFTs such as Mad Lads and Solana Monkey Business.

Source: Solana Floor

Furthermore, interest in SOL staking is also declining. Over the past week, the amount of SOL bet on the network has decreased significantly. A significant reduction in staking could reduce the number of validators and make the network more vulnerable to attacks.

The number of validators can also affect transaction processing speed and fees. A low number of validators can reduce throughput, resulting in slower transaction times and higher fees.