DEXs recorded new monthly trading volume records in spot and derivatives markets in December, with Solana-based protocols dominating the sector. according to to DefiLlama.
As of December 30, spot trading volumes on the chain reached $451.5 billion, up 19% from November, when the previous record monthly trading volume was $379.5 billion.
Meanwhile, the value of on-chain derivatives rose by $325.3 billion over the same period, a monthly increase of 25% and more than $10 billion above the previous all-time high in March.
Solana maintained its dominance in spot volumes for the third month in a row, registering nearly $112 billion. This is $15 billion more than Binance Smart Chain (BSC), the second most used spot trading chain, with a total volume of $96.2 billion. This is an increase of 166% compared to last month.
Ethereum was the third most used blockchain by spot market traders, with a monthly volume of $86.6 billion, up 21.5% from November.
Despite maintaining the lead in the spot market, Solana lost ground to BSC and Ethereum as volumes fell 15.7% this month.
Traders switching liquidity in search of new crypto stories could be the reason behind Solana’s decline in spot trading volume. The chain peaked at $132.3 billion last month, an all-time high for spot trading on the chain, so a slight decline in trading volume is expected.
Rise of on-chain derivatives
This year in particular, on-chain derivatives trading has grown. In 2023, these DEXs recorded approximately $73 billion in transactions. By comparison, the lowest monthly trading volume for on-chain derivatives this year was $138.3 billion in October.
Similar to Solana’s dominance of the spot market, Hyperliquid has taken the crown of the on-chain derivatives trading market for the fourth month in a row.
The application-specific blockchain recorded steady growth in volume, peaking at $152.4 billion on December 30. This volume is 101% larger than the amount registered last month.
In addition to Hyperliquid’s stellar performance in on-chain derivatives trading, Solana has maintained the second spot since October.
Although Solana’s derivatives trading volume has fallen 21% since November, it still registered a monthly trading volume of $34.1 billion as of December 30.
