Solana News Today: Solana Challenges Ethereum’s DEX Supremacy in High-Stakes Blockchain Race

Decentralized exchanges (DEX) saw a record-breaking $1.1 trillion in combined spot and perpetual contract trading volume in August, a 18.4% increase from the previous month. This milestone marks the first time DEX activity has exceeded the $1 trillion threshold. Spot DEX volume reached $506.3 billion in August, just $1.5 billion short of the January 2025 all-time high. Meanwhile, perpetual contract trading surged to $648.6 billion in the same period, a 31.3% increase from July and an absolute record for the category. Perpetual contracts accounted for 56.4% of the total DEX volume, underscoring their growing popularity in the decentralized trading landscape [1].

Ethereum reclaimed its position as the leading blockchain for spot on-chain trading in August, processing $140.4 billion in volume. This marked the first time since March that Ethereum outperformed both Solana and BNB Chain. Solana recorded nearly $120 billion in spot trading during the month, securing second place, while BNB Chain processed around $60 billion [1]. The top spot DEX protocols for spot trading included Uniswap, which captured 28.2% of the market with over $143 billion in volume, followed by PancakeSwap and Hyperliquid. In the perpetuals category, Hyperliquid dominated with a 62.5% market share, processing $405.8 billion in volume [1].

Solana’s DEX performance was further highlighted when it surpassed Ethereum in 24-hour DEX volume for the first time, with $4.604 billion in trades compared to Ethereum’s $4.435 billion. This shift in blockchain activity was accompanied by the voting phase of the Alpenglow proposal, a network upgrade aimed at reducing block finality times from 12.8 seconds to approximately 150 milliseconds. The proposal, developed by Anza, introduces a new system called Votor, which enables off-chain block notarization before sending compact proofs on-chain. Voting began at Epoch 840 and will continue until Epoch 842, with a two-thirds majority required for approval. Early turnout reached 11%, with 10.6% of votes in favor and 0.12% against [4].

The proposed upgrade could bring Solana’s transaction speed closer to that of traditional payment systems like Visa and Mastercard, potentially enhancing its appeal for real-time finance and high-frequency applications. The fee structure of the proposal includes a 1.6 SOL charge per epoch, set at 80% of current voting costs, with fees burned to reduce supply inflation. Validators who abstain or submit conflicting votes risk losing rewards or removal from the active validator set. This proposal represents a strategic effort by Solana to maintain its growing relevance in the DeFi market, especially in light of its rising DEX activity [4].

The surge in Solana’s DEX volume and the pending Alpenglow proposal have sparked renewed interest in the network’s price trajectory. As of late August, SOL traded at $211.61, with $220 identified as a key resistance level. Analysts noted that a sustained breakout above this threshold could lead to further gains toward $225, $232, and potentially $250. On the downside, support was observed between $185 and $190. Technical indicators, including the RSI and MACD, showed bullish momentum, reinforcing the possibility of a continued upward trend in the near term [4].

The broader DEX landscape reflects a growing shift in user behavior toward decentralized trading platforms, with the DEX-to-CEX trading ratio reaching 17.2% in August. This ratio has consistently remained above 10% throughout 2025, signaling sustained adoption of on-chain trading infrastructure. The record-breaking DEX volume in August demonstrates the maturing infrastructure of decentralized trading, with perpetual contracts now receiving attention comparable to centralized exchanges. This trend highlights the increasing relevance of DEX in the broader cryptocurrency market structure [1].

Source:

[1] Decentralized Exchanges Record $1.1 Trillion In Trading Volume As Perpetuals Drive Historic Trading Month (https://cryptoslate.com/decentralized-exchanges-record-1-1-trillion-in-trading-volume-as-perpetuals-drive-historic-trading-month/)

[2] Bulls Target $220 After Flipping Ethereum in DEX Volume (https://coincentral.com/solana-sol-price-bulls-target-220-after-flipping-ethereum-in-dex-volume/)

[3] Solana Dethrones Ethereum In Major DEX Volume Shift (https://www.thecoinrepublic.com/2025/08/28/solana-dethrones-ethereum-in-major-dex-volume-shift-will-sol-price-follow/)

[4] Solana (SOL) Price Prediction: Q4 Growth Potential and Market Outlook (https://www.bitcoininsider.org/article/285001/trending-now-sols-210-weekly-surge-drives-rotation-early-entrants-17x)