Solana Dethrones Ethereum and Leads Daily NFT Trading Volume

Things are changing in the non-fungible token (or NFT) industry. Ethereum’s valuable NFT market has been seeing trading volume decrease in recent weeks, but non-fungible tokens are still growing on the Solana network. During a 24-hour period between Tuesday (24) and Wednesday (25), the Solana network generated more NFT volume than Ethereum.

According to data from the website CryptoSlam, secondary sales of NFTs on Solana generated a total of $24.3 million in the last 24 hours, while sales on Ethereum reached $24 million during the same period, across all markets tracked by CryptoSlam. platform.

It’s a modest difference between platforms, but it’s the first time that the Solana market has dethroned Ethereum in terms of the amount generated through 24-hour sales. According to CryptoSlam, NFT sales on Solana were up 436% during that 24-hour period compared to the previous day.

This increase is thanks to the launch of Trippin’ Ape Tribe, a new Solana NFTs profile picture (or PFP) project launched on Tuesday.

It has a similar style to Ethereum’s Mutant Ape Yacht Club (or MAYC), with ten thousand unique primate illustrations that have surreal visual characteristics. Secondary market sales of the project soared after the initial launch.

The Trippin’ Ape Tribe alone accounted for more than $14.5 million of Solana’s trading volume in the last 24 hours, according to CryptoSlam. It became the most popular project in a very short time, dethroning all other projects from both Ethereum and Solana — the previous record holder was the Bored Ape Yacht Club (or BAYC), with $3.5 million in sales.

By April, Okay Bears had become the first Solana project to top this list — a feat that was repeated again in the following weeks. Trippin’ Ape Tribe is the only other Solana NFT project to occupy the throne for 24 hours above other Ethereum and Solana collections.

Right now, the cheapest Trippin’ Ape Tribe is 50 SOL (or $2,400) on the Magic Eden market.

proof of ownership

An NFT acts as proof of ownership to an item and is often used for things like profile pictures, digital illustrations, sports collectibles, and video game items.

The sprawling NFT market generated around $25 billion in trading volume in 2021 alone as the market caught fire, according to data from DappRadar, and is currently on pace to surpass that volume in 2022.

test of strength

Solana’s move to dethrone the volume of NFTs traded on Ethereum is the latest sign that the market on Solana is gaining a lot of traction. The Okay Bears’ heyday had been another big sign, and now this collection has generated $100 million in secondary sales for less than a month.

Additionally, Magic Eden, Solana’s top NFT marketplace, outperformed OpenSea, Ethereum’s top marketplace, in terms of weekly users and transactions. However, it’s important to note that Solana’s transaction fees are a tiny fraction of Ethereum’s fees, making it cheaper to do things like listing and unlisting NFTs, as well as bidding on items.

A review of what’s going on for @MagicEden vs @Opensea:

Magic Eden has held on to its market share despite Opensea’s Solana NFT launch last month.

Not only that, but ME is now at comparable user numbers, *much* higher transaction frequency, and closing the gap in GMV with OS 👇 pic.twitter.com/Fn7PcfV8aD

— Li Jin (@ljin18) May 24, 2022

Recently, OpenSea added support for Solana’s NFTs, but it has yet to gain a significant share in this industry.

Magic Eden still generates much of the selling volumes for the Solana market and plans to focus on native Solana projects by allowing buyers to transact with the native tokens of NFT projects such as DeGods and Aurory.

Solana’s NFT market has encountered difficulties, including the emergence of NFT issuance robots, i.e. automated programs that try to overload NFT launches to buy as many assets as possible.

Such robots knocked down the entire Solana network on April 30th, resulting in the creation of a new “robot fee” which charges a fee for each “invalid” transaction attempt.

While Solana is showing numerous signs of growth, the Ethereum network remains far more valuable as a whole. Over the past seven days, CryptoSlam shows $57 million NFTs trading volume on Solana compared to $206 million on Ethereum.

In the last 30 days, the difference has increased significantly: $333 million on Solana and $3.15 billion on Ethereum.

The NFT market on Ethereum was on fire in late April and early May thanks to the launch of Otherside’s NFT virtual lands, an upcoming metaverse game from the creators of Bored Ape Yacht Club.

The sale was widely criticized for its format, but it was still a success — the NFTs generated more than $1.2 billion in primary and secondary sales in less than a month.

However, strength in Ethereum’s NFT sector has waned on account of the broad crypto market slump. OpenSea only recorded $29 million in Ethereum trading volume, according to Dune data — compared to a May 1 record of $476 million.

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