With the year coming to a close, we have decided to evaluate the top ten Solana protocols for this year, through a metric that we believe is more reflective of their success – fees. Rather than resorting to the common metrics of active addresses or total value locked (TVL), which can be manipulated, we believe that the fees generated by these protocols provide a more realistic picture of their demand and efficacy.
Topping the list, Raydium, the Solana decentralized exchange, has generated an impressive $648 million in fees. Having capitalized on the memecoin frenzy that swept the crypto world this year, Raydium has been a pivotal player in the Solana ecosystem. While some critics have argued that the exchange has been used by memecoins to create false volume, the significant fees generated by Raydium tell a different story.
Coming in a close second is Jito, with $633 million in fees. The Jito-Solana client has become a staple for many validators running Solana’s software. With a 5% cut from the MEV “tips” paid by users to transact on Solana, Jito’s fees have seen a significant boost this year, thanks to the increased demand from memecoin transactions.
Pump.fun, the memecoin launchpad, occupies the third spot with $308 million in fees. Despite being less than a year old, this protocol has proven the enormous appetite crypto users have for token speculation.
Photon, a trading platform on Solana, sits at the fourth spot with $248 million in fees. Known for its speed and convenience, Photon’s appeal lies in its “quick buy” function and high-speed data delivery, which it claims is 15 times faster than DEX Screener’s.
At the fifth spot is bloXroute, an infrastructure company generating $136 million in fees. It offers a blockchain distribution network and trader APIs, predominantly used by traders to expedite Solana transactions.
The sixth spot is taken by Trojan with $121 million in fees. Popular for its Telegram bot, Trojan allows users to create a Solana wallet and execute crypto transactions within the messaging app.
Following closely is BONKbot, generating $118 million in fees. Spawned by the creators of a popular Solana memecoin, BONKbot is a Telegram trading bot showcasing the technical finesse of its developers.
Marinade occupies the eighth spot with $88 million in fees. Known for offering the third-largest Solana liquid staking token, Marinade launched its v2 this year, introducing an auction mechanism to its stake pool to attract higher yields and institutions.
BullX and Kamino round off the list at the ninth and tenth spots, generating $85 million and $81 million, respectively. While BullX is another memecoin trading platform, Kamino is a DeFi protocol likened to Aave of Solana, popular for its borrow-lend feature.
As we wrap up the year, these figures provide valuable insight into the workings of the Solana ecosystem. They underscore the impact of memecoins and the importance of speed and user convenience in shaping protocol success. The coming year will undoubtedly bring new challenges and opportunities, and we look forward to seeing how these protocols evolve.
