Solana’s Q1 2025: Chain GDP Growth Outshines DeFi TVL Decline

Solana’s blockchain ecosystem showcased a tale of two trends in Q1 2025. While its chain GDP—reflecting fee-based income across decentralized applications (dApps)—surged by 20% to $1.2 billion, the DeFi sector faced a stark 64% drop in Total Value Locked (TVL), plummeting from $18.3 billion to $6.6 billion. This divergence highlights both the resilience of Solana’s broader ecosystem and the challenges facing its DeFi segment.

Solana’s Q1 2025 Performance: Chain GDP Growth Contrasts with DeFi TVL Decline

Solana’s blockchain ecosystem delivered divergent results in the first quarter of 2025. While network applications collectively generated $1.2 billion in revenue—a 20% increase—the decentralized finance sector suffered a dramatic 64% reduction in total value locked, falling from $18.3 billion to $6.6 billion.

The chain GDP metric, which captures all fee-based income across Solana’s dApps, demonstrates robust fundamental activity despite DeFi’s liquidity contraction. This paradox suggests shifting user behavior within the ecosystem, with non-DeFi applications gaining traction even as decentralized finance faces headwinds.

Market analysts note the simultaneous growth and contraction reveals Solana’s evolving maturity. "Blockchain economies aren’t monolithic," observed Messari’s lead researcher in their quarterly report. "What we’re seeing is natural specialization as platforms scale."

Solana Price Prediction: Break Above $180 Could Signal New Highs

Solana’s price trajectory is drawing heightened attention as analysts speculate that a decisive MOVE above $180 could pave the way for record highs. The altcoin’s recent bullish reversal aligns with broader market optimism, particularly with potential altcoin season momentum later this year.

Solana’s ecosystem growth reinforces its bullish case. MetaMask’s planned integration in May 2025 marks a watershed moment—its first native support for a non-EVM chain. Meanwhile, DeFi Development Corp’s treasury-backed initiatives underscore institutional confidence in Solana’s infrastructure.

Canary Renames Solana ETF, Adds SOL Staking in Amended S-1 Filing

Canary Capital has rebranded its proposed solana exchange-traded fund (ETF) to "Canary Marinade Solana ETF" in an amended S-1 filing submitted on May 21. The initial March 2025 filing referred to the product as "Canary Solana Trust."

The updated proposal reveals a partnership with Marinade Finance, a decentralized staking protocol, enabling SOL staking within the ETF structure. Marinade’s liquid staking mechanism will generate income from the fund’s SOL holdings.

The integration aims to track both Solana’s price movements and staking rewards. Staking operations will FORM a core component of the ETF’s management strategy, with profits potentially being reinvested or distributed.

Canary Refiles with New Name for Solana ETF Push

Canary has submitted an amended application for its Solana-focused exchange-traded fund, rebranded as the ’Canary Marinade Solana ETF.’ The move underscores increasing institutional interest in Solana-based investment vehicles amid surging demand for cryptocurrency ETFs.

While still pending regulatory clearance, the proposed fund WOULD provide traditional investors with exposure to Solana’s ecosystem. Approval could accelerate mainstream adoption of digital assets through regulated financial products.

Canary Capital Revamps Solana ETF with Marinade Finance Staking Partnership

Canary Capital has submitted an amended filing for its Solana ETF to the SEC, rebranding it as the Canary Marinade Solana ETF. The revision introduces SOL staking through a strategic partnership with Marinade Finance, embedding yield-generating mechanisms directly into the fund’s structure.

The SEC has deferred its decision on the approval timeline, pushing the review period to August 17. This move signals growing institutional sophistication in crypto investment vehicles, leveraging Solana’s proof-of-stake architecture for enhanced investor returns.

Solana Struggles Amid Institutional Delays as ETF Uncertainty Weighs on Price

Solana (SOL) has failed to break the $170 resistance level despite broader altcoin momentum, with institutional hesitations creating headwinds. The SEC’s delay in approving spot Solana ETF applications from 21Shares and Bitwise has amplified market anxiety, leaving the asset trapped in a technical consolidation pattern.

While Bitcoin’s rally lifted most altcoins, SOL’s underperformance highlights unique regulatory risks. Traders now watch whether institutional interest can materialize post-ETF decisions, or if Solana will remain range-bound amidst the regulatory fog.