Updated November 1, 2:29 PM (UTC): This article has been updated to include a quote from the Messari protocol service.
Institutional investment in Solana-based blockchain applications reemerged in the third quarter of 2024.
During the third quarter, 29 Solana-based decentralized applications (DApps) raised a cumulative $173 million, an increase of more than 54% compared to the previous quarter.
According to a Messari Protocol Services report shared with Cointelegraph, this funding amount represents the highest level of investment in Solana since the second quarter of 2022, despite a 37% decrease in the number of funding rounds.
Solana invested in the third quarter. Source: Messari
Matthew Nay, research analyst at Messari Protocol Services, told Cointelegraph that the increase in total funding is a sign of a resurgence of institutional interest in cryptocurrency projects.
“Yes, we are seeing projects that have survived the bear market continuing to raise funding at later stages. Notably, Drift’s Series B is worth $25 million. There has also been a lot of interest in Energy DePIN, as evidenced by Multicoin’s $12 million investment in Fuse.”
Solana surpassed Ethereum in daily fees, generating more than $2.54 million in daily fees compared to Ethereum’s $2.07 million as of October 28, Cointelegraph reported.
Solana is one of the leading layer 1 blockchains, often praised as an “Ethereum killer” due to its monolithic scaling approach that aims to improve transaction throughput and reduce fees without relying on layer 2 blockchains.
relevant: Binance founder CZ has seen positive changes in cryptocurrency regulations around the world.
Solana’s commission-generating users increase to 1.9 million
Solana’s fee generation increased significantly during the third quarter, improving network profitability.
During the third quarter, average daily fee payers increased to 1.9 million, an increase of more than 109% quarter over quarter, while average new fee payers increased 430% to 1.3 million.
However, average daily non-voting transactions fell 12% to 62 million.
Average daily fee payer, Q3. Source: Messari
Solana’s average transaction fees increased 6% to 0.00015 Solana (SOL) tokens, or $0.023, while media transaction fees decreased by more than 19%.
relevant: Cryptocurrency surge in Eastern Europe: DeFi drives 33% of transactions.
Institutions are driving tokenization growth on Solana
By the end of the third quarter, Solana had become the third largest blockchain in the tokenized treasury sector, driven by continued institutional growth.
A total of $123 million worth of government bonds were tokenized on Solana, compared to $422 million on Stellar and $1.6 billion on Ethereum.
Tokenized Treasury bonds powered by Solana are poised for continued growth as asset management giant Franklin Templeton plans to launch a money market fund on the network.
How Solana Could Reach 1 Billion Users in the Next 5 Years | Solana Labs CEO Interview
The report states that Societe Generale, a global financial conglomerate, will also contribute to the growth of blockchain.
Societe Generale is launching a euro-denominated stablecoin as it prepares for the full implementation of the Markets in Cryptocurrency Assets (MiCA) legislation. The new stablecoin is already worth more than $37 million on Ethereum, as Societe Generale’s cryptocurrency division plans to add support for Solana.
magazine: Mert Mumtaz’s rise: ‘I probably FUD’d Solana the most.’