- Solana’s DEX volume hit 43% in February, surpassing Ethereum’s (L1+L2) ecosystem.
- Despite memecoin crashes, Solana’s DEX market share remained strong at 30% in March.
- Solana’s DEX growth challenges Ethereum’s dominance in DeFi, with a 191% token price rise.
The Solana DEX Volumes operations achieved higher trading activity than Ethereum and its Layer-2 solutions in February 2025. Solana’s position in decentralized finance (DeFi) continues to improve as its market share increases despite memecoin trades experiencing widespread volatility. The network represents an essential development in DeFi standards because traders now choose its chain for quick and lower-cost transactions.
February Spike in Solana’s DEX Market Share
According to VanEck’s March 5 report, Solana DEX market share topped 43% in February. This represented a temporary but noteworthy surpassing of Ethereum’s entire ecosystem, which includes both Layer-1 and Layer-2 networks. However, Solana’s share declined to 30% by March, just below Ethereum’s 40% market share.
Memecoin market activity reached its lowest point while Solana DEX experienced its short-lived outperformance. DEX trading on Solana remains strong because the blockchain delivers rapid transactions at low costs. According to research head Matthew Sigel at VanEck the network’s decentralized exchange (DEX) trading volume remains stable throughout the decreased memecoin trading period.
Impact of Memecoin Scandals on Solana’s Network Activity
Memecoin activities in February had a significant impact on the Solana DEX’s performance. Retail trading sentiment experienced a major decline after Trump Coin traders lost approximately $2 billion and the Libra project failed in succession. The essential flow of stablecoin transfers used in on-chain trading fell by 80% in February compared to January volumes.
The DeFi ecosystem on the network shows strong resistance to its recent setbacks. The memecoin platform Pump.fun maintains a leading position as a source of network revenue. The number of new token releases through Pump.fun decreased by 80% from January. Raydium stands top of Solana DEX and maintains strong operational status with over $1.3 billion in Total Value Locked (TVL) in contrast to general market volatility.
Solana vs. Ethereum: Shifting DeFi Landscape
Sol’s growing market expansion challenges Ethereum’s dominance in DeFi. Ethereum maintained its position as the top decentralized finance hub with its large developer group, developed framework and deep liquidity. The proportion of DeFi activity on Solana continues to grow. Technical capabilities, including fast and inexpensive operations have driven developer adoption on the blockchain, propelling its rapid growth.
Solana DEX platforms exceeded Ethereum Virtual Machine (EVM)- based DEXs combined volumes for the first time in January 2025. Analysts now view Solana as a powerful DeFi competitor against Ethereum despite Ethereum currently having stronger positions in total value-locked metrics and institutional adoption. The debate on Solana’s Virtual Machine (SVM) versus Ethereum’s EVM platform becomes more heated as experts anticipate SVM will claim dominance.
The growth performance on Solana DEX outpaces Ethereum DeFi, although Solana has a lower market valuation. The difference between Solana’s DeFi market value and its potential worth indicates that Solana’s ecosystem may be currently underappreciated, which supports its optimistic future development prospects.