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Solana Surges Past Ethereum in Weekend Trading Frenzy

In an unprecedented turn of events, the Solana blockchain has eclipsed Ethereum in terms of network activity over the past weekend. The surge was primarily fueled by a frenetic rush for Solana-based memecoins, which has put the network’s capacity to the test.

On March 16, Solana’s trading volume skyrocketed to a staggering $3.52 billion, surpassing Ethereum’s daily volume by a significant margin of $1.1 billion, according to data from DefiLlama. Despite this remarkable achievement, the network faced considerable challenges in handling the sudden spike in activity. Users across various platforms reported numerous instances of transactions failing or going missing.

Data from Solana Validators, highlighted by a user known as “Dagnum,” indicated that the network’s ping times fluctuated between 20 and 40 seconds at 8 pm UTC on March 16. This latency led to an estimated 50% of transactions failing during a 20-minute window.

The catalyst behind this surge in network activity was the launch of a new memecoin named Book of Meme (BOME). The coin experienced a meteoric rise, with its market capitalization soaring from virtually nothing to $1.45 billion within just 56 hours.

Another memecoin, “$NAP” (NAP), also captured the attention of the trading community, witnessing its market cap explode from around $20 million to over $330 million in less than a day.

Amidst this flurry of activity, the price of Solana’s native token, SOL, has also seen a significant uptick. As per the latest figures from CoinGecko, SOL is trading at $197, marking a 6.4% increase over the past week and an impressive 40% growth over the previous month.

Source: Coingecko

This event has highlighted the volatile and dynamic nature of the cryptocurrency market, where new tokens can rapidly gain traction and challenge established networks like Ethereum. It also underscores the ongoing scalability challenges faced by blockchain networks as they strive to accommodate an ever-growing demand for decentralized financial services.

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