DEXs set new monthly volume records in spot and derivatives markets in December, with Solana-based protocols dominating the sector, according to DefiLlama.
As of December 30th, on-chain spot trading volume reached $451.5 billion, an increase of 19% from November, and the previous record for monthly trading volume was $379.5 billion.
Meanwhile, on-chain derivatives moved $325.3 billion over the same period, an increase of 25% month-on-month and more than $10 billion above the all-time high set in March.
Solana maintained its dominance in spot trading volume for the third month in a row, posting approximately $112 billion. This is $15 billion more than the $96.2 billion total of Binance Smart Chain (BSC), the second most used chain for spot trading. This is an increase of 166% from last month.
Ethereum is the third most used blockchain by spot market traders, with monthly trading volume of $86.6 billion, an increase of 21.5% from November.
Despite holding the lead in the spot market, Solana saw its volume decline by 15.7% this month, losing ground to BSC and Ethereum.
The decline in Solana’s spot trading volume may be due to traders rotating liquidity in search of new crypto stories. Trading volumes are expected to decline slightly, as the chain reached an absolute all-time high for on-chain spot transactions last month at $132.3 billion.
The rise of on-chain derivatives
On-chain derivatives trading in particular has increased this year. In 2023, these DEXs recorded approximately $73 billion in transactions. In comparison, the lowest monthly trading volume for on-chain derivatives this year was $138.3 billion in October.
Similar to Solana's spot market dominance, Hyperliquid holds the crown in the on-chain derivatives trading market for four consecutive months.
Application-specific blockchains have seen a steady increase in transaction volume, reaching $152.4 billion on December 30th. This trading volume is 101% higher than the amount registered last month.
Adding to Hyperliquid's strong performance in on-chain derivatives trading, Solana has maintained its No. 2 position since October.
Solana's derivatives trading volume has fallen 21% since November, but still posted monthly trading volume of $34.1 billion as of Dec. 30.
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