DEXs recorded new monthly trading volume records in December across spot and derivatives markets, with Solana-based protocols dominating the sector, according to DefiLlama.
As of December 30, on-chain spot trading volumes reached $451.5 billion, an increase of 19% from November, which held the previous monthly trading volume record at $379.5 billion.
Meanwhile, on-chain derivatives moved $325.3 billion during the same period, a 25% monthly increase and over $10 billion from the previous all-time high recorded in March.
Solana maintained its spot volume dominance for the third consecutive month, recording nearly $112 billion. This is $15 billion more than Binance Smart Chain (BSC), the second most used chain for spot trading, with a total volume of $96.2 billion. This is an increase of 166% from last month.
Ethereum was the third most used blockchain by spot market traders, with monthly volume of $86.6 billion, an increase of 21.5% from November.
Although it retains the lead in the spot market, Solana has lost ground to BSC and Ethereum, with its volumes falling 15.7% this month.
Traders spinning liquidity in search of new crypto narratives could be the reason for Solana’s spot trading volume decreasing. The chain peaked at $132.3 billion last month, the all-time high for on-chain spot trading, so a slight decline in trading volume is expected.
Rise of on-chain derivatives
On-chain derivatives trading has particularly grown this year. In 2023, these DEXs saw approximately $73 billion in transactions. In comparison, the lowest monthly on-chain derivatives trading volume this year was $138.3 billion in October.
Similar to Solana’s spot market dominance, Hyperliquid holds the crown in the on-chain derivatives market for the fourth month in a row.
Application-specific blockchain has seen steady growth in volume, peaking at $152.4 billion on December 30. This volume is 101% higher than the amount recorded last month.
In addition to Hyperliquid’s exceptional performance in on-chain derivatives trading, Solana has retained the second place since October.
Although Solana’s derivatives trading volume fell 21% since November, it still recorded a monthly trading volume of $34.1 billion as of December 30.
