Solana saw a significant boost in December, with an additional $1 billion in stablecoin total value locked (TVL), primarily in USDC, according to DefiLlama.

The surge reflects growing stablecoin adoption and the rising prominence of the Solana network in 2024, particularly within decentralized finance (DeFi).

Solana now holds around $5 billion in stablecoin TVL, of which nearly $4 billion is USDC. Tether’s USDT is the network’s second most-used stablecoin, accounting for approximately $1 billion in TVL.

As of Dec. 31, the total market capitalizations for USDT and USDC across blockchain networks were about $137 billion and $44 billion, respectively, based on CoinGecko data.

Stablecoin market capitalizations saw a sharp rise following President-elect Donald Trump’s victory in November, with many speculating that his win could benefit the industry, according to Cointelegraph Research.

Since November, the combined market capitalizations of the top three stablecoins — USDT, USDC, and DAI — have increased by more than $25 billion, as noted in a Dec. 26 Citi research report.

This trend is particularly favorable for DeFi, as “stablecoins are the on-ramp to decentralized finance,” Citi highlighted.

Solana has positioned itself as a strong competitor to Ethereum in DeFi and other smart contract applications.

Since 2023, SOL has outperformed Ether by roughly 8x, according to TradingView data.

In 2024, Solana’s overall TVL increased nearly fivefold, rising from $1.4 billion to over $8.6 billion, as per DefiLlama.

“Retail traders increasingly enter the crypto market through Solana [as] speculation intensifies around Solana-based memecoins and AI agent tokens,” Grayscale Research noted in a Dec. 30 report.

Grayscale also included two Solana-native DeFi applications, Jupiter and Jito, in its top 20 tokens to watch for the first quarter of 2025.

Jito, a staking pool on Solana, reported monthly revenues exceeding $100 million in November and December from priority fees and tips, according to Kairos Research.

Despite Solana’s rapid growth, the stablecoin TVL within Ethereum remains significantly larger, surpassing $110 billion as of Dec. 31, DefiLlama reported.

Sources:

https://cointelegraph.com/news/solana-adds-1-billion-worth-stablecoins-december

https://x.com/smyyguy/status/1874161331777204346