Coinbase is struggling to keep up with a massive surge in Solana memecoin trading. CEO Brian Armstrong says the exchange wasn’t expecting such a huge increase in activity.
Solana’s Unexpected Boom
The Solana network has seen a massive spike in trading volume, far exceeding expectations. According to DefiLlama, Solana’s 24-hour trading volume hit $22.25 billion, dwarfing Ethereum’s $6.21 billion. Solana also raked in $35.5 million in fees, compared to Ethereum’s $15.7 million. This unexpected boom is largely attributed to the recent launch of several memecoins on the Solana network. This includes memecoins associated with prominent figures like Donald and Melania Trump, launched just before the presidential inauguration.
Coinbase Struggles to Cope
This massive influx of activity has caused significant delays on Coinbase’s Solana transactions. Armstrong took to X (formerly Twitter) to address customer complaints about slow transaction times and transfers taking days to process. He confirmed that the issue is a scaling problem related to the sheer volume of Solana transactions, not a solvency issue. He reassured users that customer funds are safe and secured. Coinbase is working to improve its Solana infrastructure to handle the increased load. Solana is currently trading at $251, up 5.4% in the last 24 hours.
Disclaimer: This information is for general knowledge and shouldn’t be considered investment advice. Always do your own research before investing in cryptocurrencies.
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