Solana News Today: Coinbase's Solana Push Targets DEX Dominance

Coinbase Global Inc. is accelerating its expansion into the Solana ecosystem with the acquisition of Vector.fun, a Solana-native on-chain trading platform, marking its ninth deal of 2025. The move, announced in a blog post, underscores the crypto exchange's strategy to enhance decentralized exchange (DEX) integration and position itself as a leader in fast, accessible trading infrastructure. Vector.fun's technology and team will be integrated into Coinbase's consumer trading division, with its standalone apps set to wind down.

The acquisition aligns with Solana's surging DEX activity, which has surpassed $1 trillion in volume for 2025. Coinbase highlighted that Vector's Solana-native infrastructure will improve speed, liquidity, and access to newly issued assets on the blockchain, supporting its broader vision of an "everything exchange". The platform, which launched in 2024 as a rival to memecoin trading apps, also features social trading (SocialFi) capabilities, allowing users to follow and trade alongside other traders.

The deal occurs amid broader shifts in Solana's surging DEX activity, which has surpassed $1 trillion in volume for 2025. Coinbase highlighted that Vector's Solana-native infrastructure will improve speed, liquidity, and access to newly issued assets on the blockchain, supporting its broader vision of an "everything exchange". The platform, which launched in 2024 as a rival to memecoin trading apps, also features social trading (SocialFi) capabilities, allowing users to follow and trade alongside other traders.

Financial terms of the deal were not disclosed, but the transaction is expected to close by year-end. Vector's integration into Coinbase's ecosystem follows a rapid acquisition spree that included Deribit ($2.9 billion) and Echo ($375 million), reflecting the firm's aggressive M&A strategy. Meanwhile, Tensor Foundation will continue operating independently.

The deal occurs amid broader shifts in Solana's economic model. A proposed inflation reduction plan, SIMD-0411, aims to cut annual disinflation from 15% to 30%, potentially reducing SOL emissions by $2.9 billion over six years. Proponents argue the move will emulate Bitcoin's scarcity dynamics, stabilizing tokenomics and reducing sell pressure. However, the proposal faces risks, including potential validator margin compression, which could lead to consolidation within the network.

Solana's price performance has lagged in 2025, with the asset down 33.25% over 30 days. The launch of spot ETFs, including 21Shares' TSOL on the CBOE, has been cited as a potential catalyst for recovery. Coinbase's acquisition of Vector.fun arrives as the exchange also rolls out Ethereum-backed loans for U.S. customers, further diversifying its product offerings.