A comprehensive research report shows Solana taking the lead in users, developer activity, and Web3 adoption. Ethereum is falling behind. But what makes the “Ethereum killer” so special?
The 14th edition of the quarterly crypto report by 21Shares analyzes trends, network usage, technological advancements, and macroeconomic developments in the crypto industry. The clear focus is on Solana: the high-performance blockchain dominated the first quarter of 2025 across nearly all key metrics-from active wallets to NFT trading and mobile DeFi. While Ethereum remains the DeFi leader, it is increasingly challenged by networks offering a better user experience and greater scalability.
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Difference between ethereum and solana
What fundamentally sets Solana apart from other blockchains is its unique combination of high transaction speed (TPS), low fees, and monolithic architecture. Unlike Ethereum and its Layer-2 networks, everything on Solana runs on a single layer-from DeFi to NFTs-without bridges or fragmentation. This allows users to interact with minimal friction, while developers benefit from a unified environment.
The impressive performance is made possible by the Proof-of-History (PoH) consensus mechanism. It enables transactions to be timed and processed extremely quickly-far more efficiently than traditional proof-of-work or proof-of-stake models. On the testnet, the new Firedancer client from Jump Crypto already achieved over 1.2 million TPS-a benchmark that surpasses all existing blockchains.
Solana: The new powerhouse for web3 and mobile crypto adoption
Solana has established itself in the first quarter of 2025 as the most dynamic Layer-1 ecosystem, both in terms of user activity and technological development. According to the report, Solana surpassed Ethereum for the first time in the number of active wallets and simultaneously dominated NFT and GameFi usage. Particularly striking: Solana leads in mobile wallet DeFi, highlighting the growing importance of mobile crypto applications.
A key factor is the local fee model, which allows applications like Jupiter, Tensor, or Drift to remain consistently fast and cost-efficient-regardless of overall network traffic. At the same time, the new Firedancer client from Jump Crypto delivers a massive performance boost: with up to 1.2 million transactions per second in the testnet, Solana is nearing a new level of technological capability.
Solana is also setting new standards in user experience: the native Phantom wallet offers cross-chain support and intuitive usability, while the Web3 smartphone Saga showcases what blockchain integration on end-user devices can look like. The ecosystem is attracting more developers and capital-a clear signal of long-term growth potential.
Tokenization and institutional adoption
Despite Solana’s rise, Ethereum remains the heavyweight in the DeFi space. However, the report shows that high transaction costs, fragmented Layer-2 solutions, and complex interfaces are hindering further growth. While scaling solutions like Arbitrum or Optimism offer some relief, new projects are increasingly shifting to Solana or alternative chains like Avalanche or Sui.
Another central theme is the growth trend in real-world assets (RWAs). The tokenization of traditional financial instruments is gaining significant momentum-driven by initiatives such as BlackRock’s BUIDL fund, already operating on Ethereum, and USDC-backed Treasury products from Ondo Finance on Solana. The trend points toward digital capital markets, supported by growing institutional interest.
