Solana Hit 112 Million Daily Transactions in Q1, But SOL Dropped 33%

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• **Daily transactions on Solana hit a new record in Q1 at 112 million, a 50% rise, a new report has revealed. **

• Real-world assets are up 43% to $2.01 billion, but SOL dropped 33% as its market cap lost $26 billion.

Solana had a record-setting quarter in Q1 this year as metrics like the daily transaction count, the real-world assets and stablecoin transfer value all surged. However, SOL dipped over 30%, a new report reveals.

Published today by crypto research firm Messari, the report revealed that Solana’s average daily non-vote transactions reached a new all-time high at 112.6 million, a 50% increase from Q4 last year. It was a 15% increase from the previous record, set in Q2 last year at 98.3 million users.

Average daily non-vote transactions in Q1. | Source: Messari.

Stablecoins also recorded notable growth in Q1 as transaction volume went up 13% QoQ to $246.76 billion. USDC led the growth as its volume increased 73% to $88.1 billion and accounted for over a third of all stablecoin activity.

USDC remains the largest stablecoin on Solana, ending the quarter at $7.83 billion in market cap. However, this was a dip from $9.97 billion in the previous quarter.

The spike in stablecoin volume indicates that Solana users depend on these tokens to conduct transactions that include crypto trading, payments and cross-border transfers, Messari summarizes.

RWAs on Solana Spike, But SOL Dips 33%

Another sector that recorded significant growth was tokenization, with the market cap of real-world assets on Solana shooting up 43% to $2.01 billion, up from $1.41 billion.

RWA Market Cap on Solana. | Source: Messari

Messari says the increase was catalyzed mainly by BlackRock, whose BUIDL tokenized US money market fund recorded a 106% rise in market cap to $525 million. In Q1, Anchorage added custody support for BUIDL on Solana, opening up a rapidly growing market that ended the quarter with $423 million in assets.

ONDO also launched its Global Markets for tokenized assets on Solana and now supports over 200 tokenized US stocks. WisdomTree expanded its products on the network and Citigroup completed a proof-of-concept on tokenization in Q1.

DeFi was one of the major sectors that took a beating in Q1 as total value locked dropped 22% to $6.2 billion.  However, as we have reported, the drop in TVL is a sector-wide challenge and is not limited to Solana.

On the revenue side, the total generated by all applications hit $342.2 million, a marginal rise from the previous quarter. While spot DEXes saw a 55% drop in revenue, launchpads had a great quarter. This was best reflected by Pump.fun, the leading launchpad, whose $124.7 million was the highest generated by any protocol and three times higher than second-placed Axiom.

Top Revenue Generators on Solana | Source: Messari

While most metrics improved, SOL recorded a 33% drop in Q1 as the broader market forces slashed over $26 billion from its market cap.

In the past week, SOL has shed 11.3% to trade at $84.27 at press time as trading volume dropped 14%.