The meme token frenzy continues to draw numerous individual investors to Solana (SOL), leading to a significant increase in transactions and consequently in fee revenues. According to an analysis of Token Terminal data, the smart contract network collected $20.14 million in fees over the week. This figure was the second-highest fee after Ethereum (ETH).
Solana’s Meme Token Boost
The announced number also represents the highest weekly fees for Solana to date, corresponding to a 10.75% market share. Additionally, Solana’s daily market share consistently rose from 9% to over 12% throughout the week.
Cryptocurrency analyst David Alexander II characterized this as a significant shift in network fee capture, considering that historically, Solana accounted for less than 1% of daily total fees. The comeback spurred by new meme token launches is testing the network’s limits. Individual investors known for their interest in such tokens have been flocking to Solana in pursuit of SLERF (SLERF), BOOK OF MEME (BOME), and many other tokens.
Solana’s Analytical Reports
The number of daily active users followed a parabolic trajectory throughout the week, recording the highest number to date of 2.1 million on March 17th. The meme token craze led to increased activity on Solana-based decentralized exchanges (DEX). According to DeFiLlama analyses, Solana DEXs surpassed Ethereum in total weekly volumes.
Moreover, this situation also helped the network attract more liquidity, with the total value locked (TVL) surpassing $8 billion for the first time since January 2021. According to CoinMarketCap data, the fifth-largest cryptocurrency exceeded $200 for the first time since December 2021 this week. However, subsequent profit-taking pulled SOL down, and the token was trading at $174 at the time of writing.
