Institutional Investments in Solana DApps Surge to $173 Million in Q3 Reflecting 54% Growth

Institutional investments in Solana-based decentralized applications surged to $173 million in Q3 2024 reflecting a 54% increase from the previous quarter. This growth indicates renewed interest in the Solana ecosystem amidst a 37?cline in funding rounds. Solana surpassed Ethereum in daily fee revenue demonstrating its profitability and robust scaling strategy. The network ranks third in tokenized treasury assets with prominent financial players entering the space. Additionally Solana introduced its new smartphone Seeker targeting a broader user base and enhancing developer capabilities.

 Institutional Investments in Solana DApps Surge to $173 Million in Q3 Reflecting 54% Growth

Institutional Investments in Solana DApps Surge to $173 Million in Q3 Reflecting 54% Growth

Institutional investment in Solana-based decentralized applications (DApps) experienced a notable rebound in the third quarter of 2024 reaching $173 million across 29 funding rounds. This figure represents a remarkable 54% increase compared to the previous quarter indicating a renewed interest in the Solana ecosystem despite a 37% decline in the number of funding rounds as reported by Messari.

The latest influx of capital marks the highest investment level in Solana projects since the second quarter of 2022 showcasing a strong recovery for the blockchain network. A significant driver of this investor confidence is Solana's growing profitability. Notably on October 28 Solana outperformed Ethereum in daily fee revenue generating $2.54 million against Ethereum's $2.07 million.

The report emphasizes that Solana's strategy for scaling which focuses on increasing transaction throughput and minimizing fees on a single layer has contributed to its reputation as an "Ethereum killer." This approach contrasts with Ethereum's reliance on layer-2 solutions to enhance scalability.

During the third quarter Solana also witnessed a dramatic uptick in fee-related metrics. The average daily fee payers reached 1.9 million reflecting an impressive quarter-over-quarter increase of 109%. Additionally new fee payers surged by 430% to 1.3 million. However it is noteworthy that the network's daily transaction volume excluding voting-related activities dropped by 12% to 62 million transactions. Meanwhile the average transaction fee rose by 6% to approximately 0.00015 SOL or roughly $0.023 with the median transaction fee experiencing a 19% decrease.

By the end of the quarter Solana ranked third among blockchains by tokenized treasury assets with $123 million trailing behind Stellar's $422 million and Ethereum's $1.6 billion. Expectations for Solana's tokenized treasury figures remain high particularly with the engagement of prominent financial institutions. Asset management giant Franklin Templeton has announced plans to launch a money market fund on Solana while Societe Generale aims to extend its euro-denominated stablecoin to the Solana blockchain. This stablecoin currently valued at $37 million on Ethereum has the potential to bolster Solana’s standing in the rapidly evolving blockchain finance sector.

In a separate development Solana recently unveiled its new smartphone called "Seeker" which represents a significant advancement in Web3 mobile technology. Priced at approximately half of its predecessor's cost Seeker is designed to attract a broader user base beyond just memecoin enthusiasts. Key features of the Seeker include an upgraded DApp store facilitating quick application launches for developers and hardware enhancements aimed at improving user experience. The original model Saga faced criticism for its technical limitations compared to mainstream devices like the iPhone or Google Pixel but the new Seeker promises a higher-quality screen improved cameras and a better battery making it "lighter brighter and better" than its predecessor.

Additionally Travala a cryptocurrency-based travel booking platform has broadened its payment options to include major tokens from the Solana blockchain further solidifying Solana's integration into various sectors.


Click Here to Visit

What's Your Reaction?

like
0
dislike
0
love
0
funny
0
angry
0
sad
0
wow
0