Solana DEX Activity Weakens as Meteora-Linked Rug Pulls Fuel Competition
๐ Solanaโs DEX Downturn, Courtesy of Meteoraโs TaxFarm. A New Battle for DEX Supremacy Begins! ๐ ๐ Solana's DEX Downturn, Courtesy of Meteora's TaxFarm. A New Battle for DEX Supremacy Begins! ๐ ๐จ Required reading: We recommend reading Funkyonchainโs analysis of the memecoin cycle.
๐ Solanaโs DEX Downturn, Courtesy of Meteoraโs TaxFarm. A New Battle for DEX Supremacy Begins! ๐
๐ Solana's DEX Downturn, Courtesy of Meteora's TaxFarm. A New Battle for DEX Supremacy Begins! ๐
๐จ Required reading: We recommend reading Funkyonchainโs analysis of the memecoin cycle. ๐
t.me1684
๐ For the English version, go to the X thread below. ๐
x.com18920004264946โฆ
Since last year, Solana has faced major challenges from repeated rug pulls involving Meteora TaxFarm pools. The incidents have repeatedly chilled the market and shaken investor confidence:
๐ฅ DJT and the Meteora TaxFarm pool rug pull: In June 2024, the DJT memecoin launched on Solana, but a rug pull involving a Meteora TaxFarm pool brought the market to a standstill.
๐ฅ Moonshot and Meteora TaxFarm pools chill the market: In September 2024, new memecoins launched through a collaboration between Moonshot and Meteora, but another rug pull dealt a serious blow to market confidence.
๐ฅ Trump, Melania and Libra bring another freeze: In January 2025, the Trump and Melania memecoins attracted widespread attention while being managed through Meteora pools, but another rug pull chilled the market. Libra faced a similar problem in February.
Together, these incidents illustrate a recurring โcrime seasonโ on Solana, in which Meteora uses large market capitalizations and trading volumes to lure and defraud users. The consequences include:
๐ถโโ๏ธ User fatigue and migration: Repeated scams have left Solana users fatigued and pushed them toward other ecosystems, including TRON, Base and BSC.
๐ The rise of competitors:
๐ TRONโs earlier challenge: TRON attracted users disillusioned by Solanaโs problems through the memecoin trend and stablecoin activity. Platforms such as SunPump helped expand its user base, making it an alternative during a turbulent period, though that is no longer the case.
๐ข Baseโs promotion: As of today, Base, Coinbaseโs layer 2 solution, is stepping up promotion of its own DEX. The strategy responds to a market looking for safer alternatives after Solanaโs scandals. Base is seeking to expand its memecoin ecosystem and capitalize on current sentiment through user participation.
๐ BSCโs rapid rise: BSC is growing rapidly with the backing of the worldโs largest cryptocurrency exchange. The influence of Binance founder CZ (Changpeng Zhao) has spurred new memecoin launches on BSC, while trading volumes on platforms such as PancakeSwap have increased. BSCโs growth has been supported by high throughput, low transaction costs and Binanceโs backing, making it one of the strongest contenders in the new DEX battle.
Implications and conclusion:
๐ Will history repeat itself? Last yearโs TRON and Base booms generated excitement, but volume eventually returned to Solana when its problems were resolved or forgotten. With BSC showing strong performance and strategic advantages, the question is now whether a new DEX giant such as BSC will emerge or dominance will cycle back to Solana.
๐ The cycle of DEX dominance: Crypto markets have historically seen platforms rise and fall. Emerging players such as TRON, Base and BSC have each had their moments in the spotlight, but BSC could prove more than a passing trend if it sustains its momentum with strong infrastructure and Binanceโs support. It remains to be seen whether Solanaโs current difficulties will establish a lasting rival or become another chapter in the cycle.
Image 2: A chart of volume by chain over the past 14 days, showing how the Libra incident weakened volume and affected recent market activity on Solana.
Image 3: A 90-day volume dominance chart, with the โCZ viralโ moment marking a surge in BSCโs dominance and reflecting the Binance founderโs influence on market dynamics.
[#DEX](?q=%23DEX) [#Solana](?q=%23Solana) [#Meteora](?q=%23Meteora) [#TaxFarm](?q=%23TaxFarm) [#TRON](?q=%23TRON) [#Base](?q=%23Base) [#BSC](?q=%23BSC) [#Crypto](?q=%23Crypto) [#Memecoins](?q=%23Memecoins) [#CryptoNews](?q=%23CryptoNews)
๐ Gamble channel: @funkyongamble
๐ Guidebook: t.me1928
๐ฌ Follow on X: x.comfunky_onchain_
๐ Join Telegram: t.mefunkyonchain