Solana Q1 Revenue Reaches $1.2B as Pump.fun, Stablecoin Growth Drive Ecosystem Gains Despite DeFi TVL Drop

Published: 2025-05-18 00:53:30 |

Solana delivered its strongest financial quarter in a year, reporting $1.2 billion in application revenue for Q1 2025—a 20% increase over the previous quarter’s $970.5 million. Remarkably, January accounted for nearly 60% of the quarter’s earnings. The meme coin launch platform Pump.fun led all Solana applications with $257 million in revenue, followed by Phantom ($164 million), Photon ($122 million, up 13%), Bullx ($87 million, up 19%), and Jupiter ($80 million, up 79%). Despite this significant revenue surge and heightened transaction activity, Solana’s DeFi total value locked (TVL) fell 64% to $6.6 billion. In contrast, the stablecoin market cap on Solana soared 145% to $12.5 billion, with USDC’s share skyrocketing 148% to $9.7 billion—now four times larger than its main competitor USDT, which still rose an impressive 154% quarter-on-quarter to $2.3 billion. Contributing to user engagement, average transaction fees on Solana decreased 24% to 0.000189 SOL ($0.04), while median fees dropped 7% to 0.000008 SOL ($0.0015). The quarter’s strong application income, stablecoin inflows, and declining fees highlight Solana’s growing ecosystem activity, particularly in the meme coin and stablecoin sectors. For crypto traders, these trends underscore Solana’s increasing appeal and network usage, despite the DeFi TVL decline. Sustained revenue concentration among high-activity platforms like Pump.fun may signal future leadership within the Solana ecosystem and continued robust price performance for SOL.

Bullish

The news highlights robust financial growth in Solana’s ecosystem, led by a dramatic rise in application revenue and stablecoin market capitalization, even as DeFi TVL retreats. Key drivers include the strong performance of platforms like Pump.fun and significant stablecoin inflows, which indicate heightened user engagement and transaction activity. Falling transaction fees further support increased network use. Historically, such surges in network revenue, application utilization, and stablecoin activity have led to positive sentiment and price momentum for the underlying blockchain token—in this case, SOL. While a drop in DeFi TVL could be a concern, the other indicators together paint a bullish outlook for SOL traders both in the short and long term, suggesting that Solana is solidifying its ecosystem leadership and may experience continued price strength.