Five Potential Projects in the Solana Ecosystem Worth Following

Recently, the cryptocurrency market has undergone an adjustment, and the digestion of short-term negative factors has built momentum for the future development of the market. For investors, it may be a good time to position themselves in undervalued potential projects. In this market cycle, the rapid development and capital-absorbing effects of Solana and the TON ecosystem have made them key areas of focus for many investors.

The Solana ecosystem is more mature compared to TON, with significant advantages in innovation capability and large-scale applications. With the upcoming launch of Ethereum ETFs, Solana is also beginning to attract the attention of traditional capital. As a digital asset expert stated, the combination of Solana's high throughput, low fees, robust security, and active community makes it an ideal choice for exchange-traded funds, providing investors with a multifunctional and innovative open-source ecosystem.

The Potential of the Solana Ecosystem

On a technical level, the launch of Solana Blinks and Solana Actions has significantly lowered the barrier for developers to use the Solana blockchain. This will drive the application of Solana in areas such as DeFi, NFT markets, gaming, DAO governance, and RWA, facilitating more Web2 users to conveniently access Web3 technology. For Solana ecosystem projects, this is an important opportunity to acquire more users and applications.

For investors, laying out the Solana ecosystem and seizing opportunities under technological innovation and capital allocation has become a key focus moving forward. Here are five major projects in the Solana ecosystem worth noting this year:

1. Drift Protocol

Drift Protocol integrates RWA and DeFi, providing users with a diverse range of DeFi products and experiences. Recently, it has partnered with multiple financial institutions to support various RWA assets as collateral for traders, making it the protocol with the broadest support for mainstream RWA assets on the Solana chain.

The advantages of Drift Protocol lie in its diversified products, including derivative trading, swaps, leveraged spot trading, and lending. With the low gas fees and fast confirmation features of Solana, Drift Protocol provides users with extremely low transaction fees and a trading experience close to centralized exchanges while ensuring its own profitability.

Another core advantage of Drift is its quick response and support for the ecosystem. It offers pre-market trading and a fast listing channel, allowing hot assets within the ecosystem to be traded swiftly on Drift, providing investors with more trading strategy options.

Drift's TVL has rapidly increased from $117 million to a peak of $385 million this year, a growth of 3.3 times. The cumulative trading volume has reached $32 billion, with a recent 24-hour trading volume of about $220 million and active users reaching 190,000.

2. Jupiter

Jupiter is the largest DEX aggregator on Solana, helping users automatically select the best trading path by integrating liquidity from multiple decentralized exchanges, thereby minimizing swap trading slippage and fees. Its daily trading volume once surpassed that of a well-known DEX, becoming the number one across the entire chain.

Jupiter not only provides fast, low-cost, and permissionless trading, but also offers services such as automated timed investments, cross-chain bridges, perpetual contract trading, and Launchpad.

At the beginning of this year, Jupiter airdropped tokens to a large number of community users, becoming the largest airdrop event on Solana. Recently, it also conducted a cryptocurrency airdrop worth tens of millions of dollars for users participating in staking and DAO voting.

3. Kamino

Kamino is a DeFi project that integrates lending and liquidity provision. It controls the availability of lending funds by using centralized liquidity market makers (CLMM), while providing an automatic deleveraging mechanism and a "protected collateral" feature to safeguard assets against borrower default risk.

Currently, Kamino is conducting the second phase of its airdrop activity. Providing stablecoins for the protocol is a more robust strategy. Among them, the stablecoin launched by a certain payment giant has an annual yield of up to 18.39% on Kamino, and users can earn 3 times the reward points.

As of early July, the TVL on the Kamino chain reached $1.06 billion, an increase of 6.5 times compared to the beginning of the year.

4. Jito

Jito is a liquid staking protocol launched in 2022. Users can stake SOL to receive JitoSOL, and staking rewards are directly accumulated into JitoSOL. Jito also provides users with the maximum extractable value (MEV) feature, and the MEV rewards will also be allocated to JitoSOL, which relatively increases the overall returns.

Currently, Jito's TVL has reached $1.59 billion, an increase of 2.5 times since the beginning of the year. The 24-hour protocol fees amount to $730,000, with a cumulative fee of $150 million, and the number of users has exceeded 100,000.

5. TipLinks

TipLinks is a lightweight wallet product that functions similarly to the Blinks feature recently launched by Solana. Users can create TipLinks and send the links to anyone through various platforms such as SMS, social media, email, and more.

With TipLinks, you can complete complex crypto transactions using just a common email account. Simply click the link to easily send crypto assets, even to non-crypto users. The emergence of TipLinks and Blinks technology breaks down the barriers between Web2 and Web3, providing a seamless payment experience for new crypto users and laying the groundwork for the mass adoption of Web3.

Summary

According to on-chain data, Drift Protocol leads other projects in terms of user numbers, and its daily revenue is also relatively high. The project covers a wide range of products, including various aspects of the DeFi sector, and its integration advantages within the Solana ecosystem are evident. This will bring more flexibility to users' assets and further enhance Drift's competitiveness.

Jito and Kamino have gained considerable lock-up volumes, becoming the focus of capital attention. Jito's MEV brings additional income to users, while Kamino's innovations in lending have also attracted users.

Jupiter's TVL growth rate is high, which is partly due to the trading advantages brought by its aggregated liquidity and partly related to its airdrop expectations.

TipLinks provides the possibility for further popularization of cryptocurrency and has explosive potential. In the future, we need to observe its performance in terms of security, usability, and composability.

Compared to the previous bull market, this round of Solana's ecosystem has seen a batch of rapidly growing popular projects covering multiple tracks such as DEX, Liquid Staking, Lending, NFT, and RWA. Solana continues to innovate technologically, and its ecosystem projects demonstrate strong capital and user attraction, as well as potential for innovation. The TVL growth rate of ecosystem projects generally exceeds 2 times, with the number of users reaching hundreds of thousands, fully showcasing the innovative potential and future growth prospects of Solana DeFi.