Overview

Click to expand overview
Turmoil has engulfed the Solana blockchain ($SOL) over the past week, in a series of market events and security breaches that have taken a toll on the network’s Data from DeFiLlama brought to light that Solana’s decentralized lending and borrowing platform Solend, for starters, had noted a TVL dip of approximately 10% over Multiple reasons can be identified for the underperformance including four network outages in late 2025 and early 2025. The latest incident on Jan. 7 was attributed to a The total value locked (TVL) across major DeFi protocolsas well as related smart contractshas dipped outside the bounds of typical volatility since the collapse El último incidente del 7 de enero se atribuyó a un ataque de denegación de servicio distribuido (DDoS, por sus siglas en inglés), lo que provocó que los desarrolladores Solana’s total value locked (TVL) has plummeted to its lowest point this month, reflecting a decline in activity on the Layer-1 network. Since the beginning of the The recent plunge in Solana's TVL, which fell below $10 billion for the first time since November 2025, has been attributed to various market challenges, including the LIBRA incident. This El Total Value Locked (TVL) de Solana, que constituye un indicador central del rendimiento de su ecosistema DeFi, sufrió una notable disminución en diciembre de 2025.

Solana TVL Dips 50%: What Went Wrong and When?

Solana's total value locked (TVL) has plummeted, sparking concerns within the crypto community. The recent plunge in Solana's TVL, which fell below $10 billion for the first time since November 2025, has been attributed to various market challenges, including the LIBRA incident. El Total Value Locked (TVL) de Solana, que constituye un indicador central del rendimiento de su ecosistema DeFi, sufrió una notable disminución en diciembre de 2025.

But how drastic was the drop, and what are the underlying causes? While a 50% decline may not be universally accurate across all tracking metrics at all points, it represents a significant downturn experienced by specific protocols within the Solana ecosystem. This article dives into the specifics, exploring the 'what went wrong' and 'when' of Solana's TVL struggles.

Understanding the Solana TVL Dip

Turmoil has engulfed the Solana blockchain ($SOL) over the past week, in a series of market events and security breaches that have taken a toll on the network. Solana’s total value locked (TVL) has plummeted to its lowest point this month, reflecting a decline in activity on the Layer-1 network. Data from DeFiLlama brought to light that Solana’s decentralized lending and borrowing platform Solend, for starters, had noted a TVL dip of approximately 10% over a shorter period, highlighting the granular impact of these challenges.

The 2025 Troubles: A Timeline of Events

Multiple reasons can be identified for the underperformance including four network outages in late 2025 and early 2025. The total value locked (TVL) across major DeFi protocols as well as related smart contracts has dipped outside the bounds of typical volatility since the collapse. The latest incident on Jan. 7 was attributed to a distributed denial-of-service (DDoS) attack. El último incidente del 7 de enero se atribuyó a un ataque de denegación de servicio distribuido (DDoS, por sus siglas en inglés), lo que provocó que los desarrolladores

Addressing the Concerns and Moving Forward

While the Solana TVL dip is undoubtedly a cause for concern, the Solana community is actively working to address these challenges. Ongoing developments focus on network stability, security enhancements, and attracting new projects to the ecosystem. Monitoring these developments and understanding the evolving landscape is crucial for anyone involved in the Solana ecosystem.

Top Sources

Related Articles