Solana ‘beats’ Ethereum – Did USDC have a say here?

Solana recorded the highest stablecoin volumes for three months in a row.
Solana’s rise was linked with the growth of USDC.

Solana [SOL] has solidified its position as the largest chain for stablecoin settlements, outperforming its competitors comprehensively.

Solana for stablecoins

According to AMBCrypto’s analysis of Artemis data, the network handled more than $310 billion in stablecoin volumes over the week, more than double that of historically-dominant Ethereum [ETH].

The weekly surge was part of a broader market capture in 2024, which has seen Solana dominate the rankings for three months in a row.

To ascertain the extent of the turnaround, Solana’s stablecoin volume in the first three months of 2024 was 3.8x higher than the total volume recorded in the whole of 2023.

Source: Artemis

As of the 23rd of March, daily stablecoin volume on the smart contracts network was 60 times more than what it used to be a year ago.

These set of developments were quite unlike the bear market, during which Ethereum and Tron [TRX] cornered more than 80% of the total stablecoin settlement market.

Interestingly, Tron’s stablecoin volumes largely remained the same in the last three months. It was evident that Solana’s rise was built on scooping a big slice of Ethereum’s market.

Solana’s rise linked to USDC’s resurgence

USD Coin [USDC] was the dominant stablecoin on Solana, accounting for almost 71% of the total supply, according to AMBCrypto’s examination of DeFiLlama data.

In fact, USDC volumes on Solana were the primary drivers in boosting overall stablecoin transfer volumes in 2024.

Data from Artemis showed USDC overtaking the world’s largest stablecoin — Tether [USDT] — to become the most traded stablecoin in 2024.