In December, the scale of Solana (SOL) stablecoins surged by 1 billion USD.

Source: Cointelegraph Original text: "December Solana (SOL) stablecoin scale surged by $1 billion"

According to data from DefiLlama, Solana added another $1 billion in total value of stablecoins in December, primarily in USD stablecoins (USDC).

The influx highlights the accelerated adoption of stablecoins and the rise of the Solana network in 2024, especially in the decentralized finance (DeFi) sector.

According to the data, Solana currently hosts a total value locked (TVL) of approximately 5 billion dollars in stablecoins, of which nearly 4 billion dollars is comprised of USDC.

Tether's USDT is the second most popular stablecoin on Solana, with a TVL of approximately $1 billion.

Source: Dan Smith

Using stablecoins

According to CoinGecko data, as of December 31, the total market capitalizations of USDT and USDC in the blockchain network are $137 billion and $44 billion, respectively.

After Donald Trump was elected President of the United States in November, the market value of stablecoins surged significantly. Cointelegraph Research indicates that many believe Trump's victory in the U.S. presidential election will benefit the industry.

According to a research report from Citibank on December 26, the total market capitalization of the top three stablecoins—USDT, USDC, and Dai (DAI)—has increased by more than 25 billion dollars since November.

Citi stated that this is particularly beneficial for DeFi because "stablecoins are the gateway to decentralized finance."

Source: Citi

Ethereum Challenger

Solana has become a strong challenger to Ethereum in DeFi and other applications that require smart contracts.

According to TradingView data, Solana has outperformed Ethereum by about 8 times since 2023.

According to DefiLlama's data, in 2024, Solana's TVL grew by about 5 times, from approximately $1.4 billion to over $8.6 billion.

Grayscale Research stated in its report on December 30: "As speculation around Solana-based memecoins and AI agent tokens intensifies, more and more retail traders are entering the cryptocurrency market through Solana."

In December, Grayscale added Jupiter (JUP) and Jito (JTO)—two Solana-based DeFi applications—to its list of the top 20 tokens to watch in the first quarter of 2025.

According to the cryptocurrency research organization Kairos Research, the Solana staking pool Jito's priority fees and tips monthly revenue exceeded 100 million dollars in November and December.

However, according to DefiLlama data, as of December 31, Ethereum's stablecoin TVL still significantly surpassed Solana, exceeding 110 billion dollars.

Related articles: DeFi Development plans to raise $1 billion to enhance investment in the Solana (SOL) ecosystem and expand its capital reserves.