L1 Trends in 2024

Consumer applications were a powerful driver of growth and user activity on Layer 1 (L1) blockchains in 2024. L1 chains that prioritized scalability, low fees, and user experience were best positioned to support these apps, capturing outsized demand and market share relative to their peers. This dynamic was exemplified by Solana in 2024, whose high throughput and parallel execution allowed it to sustain a surge of new demand for memecoin trading and reach new highs in terms of network activity.

For the first time ever, monthly DEX volumes on Solana surpassed Ethereum to claim the largest share among both L1 and L2 chains - in July, October, and November - underscoring the dramatic shift in market dominance. Despite having significantly lower transaction fees on average compared to other L1s, cumulative fees paid by Solana users also surged to a new high, behind only Ethereum and Tron, again highlighting its outsized user demand this year.