Solana is strengthening its position as the top blockchain for decentralized exchange (DEX) trading, outperforming Ethereum for the fourth consecutive month. The latest data from DeFiLlama reveals that Solana-based DEXs have recorded over $60 million in trading volume this month, nearly double Ethereum’s $34 million.

Solana Outpaces Ethereum in DEX Trading

Since October, Solana has consistently led the DEX volume race. In January, Solana’s DEXs processed an astonishing $258 billion in trades, while Ethereum lagged behind at $86 billion. This growing adoption is largely attributed to Solana’s lower transaction fees and higher throughput, making it a preferred choice for traders and developers.

Revenue Growth Strengthens SOL’s Bullish Case

Solana’s surge isn’t just limited to trading volume. Despite being known for its low-cost transactions, Solana-based applications have generated significant revenue. So far this month, Solana has earned $25 million in fees compared to Ethereum’s $16 million. In January, Solana generated $124 million in revenue, surpassing Ethereum’s $109 million. This strong revenue growth has bolstered the SOL-ETH ratio, which hit 0.09 in January before retreating to 0.075.

A key driver behind Solana’s explosive growth is the rising popularity of memecoins. High-speed, low-cost transactions make Solana an attractive platform for speculative trading, drawing retail traders and liquidity providers alike. This has led to increased activity on Solana’s DEXs, further widening the gap with Ethereum.

TVL Remains Ethereum’s Stronghold

While Solana continues to gain ground in trading volume and revenue, Ethereum remains the leader in total value locked (TVL). Solana’s TVL currently stands at $9 billion—substantially lower than Ethereum’s $57 billion. This indicates that while traders are flocking to Solana for fast and cheap transactions, Ethereum still dominates in long-term capital allocation.

Solana’s sustained leadership in DEX volume and revenue highlights its growing influence in decentralized finance. With lower fees, high throughput, and a thriving trading ecosystem, Solana is solidifying its position as a serious competitor to Ethereum. However, Ethereum’s stronghold in TVL suggests that the battle for DeFi supremacy is far from over.