Solana Surges to a New Milestone with Institutional Momentum Building

By: Isha Das

Solana, one of the prominent players in the blockchain ecosystem, has recently achieved a remarkable milestone by surpassing its previous total value locked (TVL) record. As of September 9, 2023, Solana has reached an all-time high TVL of $12.11 billion, marking a significant 15% increase over the last 30 days. This growth has been primarily fueled by the substantial advancements across Solana's decentralized finance (DeFi) landscape, with several key protocols observing double-digit growth in their monthly TVLs.

As per the most recent data, the expansive DeFi ecosystem on Solana continues to see vigorous participation. Protocols such as Jupiter with $3.3 billion, Jito with $3.2 billion, and Kamino holding $3.1 billion are leading the charge. Other notable contributions come from Sanctum and Binance-supported liquid staking SOL, maintaining strong standings at $2.894 billion and $2.5 billion, respectively. In addition, well-established projects like Raydium, Marinade, and Drift also experienced notable monthly growth, underscoring the ongoing expansion and interest in the Solana blockchain.

This upward trend can be attributed to the increasing institutional interest in Solana, driven by clear regulatory frameworks and corporate investments. Forward Industries has recently made headlines with its strategic investment of $1.6 billion into Solana, which has been backed by major players like Multicoin Capital, Galaxy Digital, and Jump Crypto. Moreover, the Solana ecosystem's appeal to institutional investors is also evident with SOL Strategies starting its trading on Nasdaq, providing another layer of confidence and legitimacy. Furthermore, the U.S. Securities and Exchange Commission's clarification on liquid staking tokens has paved the way for potential ETF launches that could further facilitate institutional involvement.

Adding to Solana's upward trajectory, the SOL price is reportedly experiencing a significant boost, driven by heightened onchain activity and projections indicating potential fresh record highs. Notably, the SOL price has surged by 70% from its previous lows experienced in late June, indicating robust market sentiment and investor confidence. As the Solana ecosystem continues to grow, drawing parallels with Ethereum's expansion, it is poised to remain a key contender in the blockchain space, with projections suggesting even higher values in the near future.