Crypto Apps Now Earning More Than the Blockchains That Power Them

Core Insights - Crypto applications are now generating more revenue than the blockchains that support them, indicating a significant shift in value distribution within the crypto ecosystem [1][2] - The rise of decentralized applications on Ethereum has led to the emergence of numerous protocols catering to specific use cases, with fully developed applications becoming the main profit drivers as the industry matures [1] Revenue Generation - Crypto apps have rapidly increased their revenue, with PumpFun earning $724 million in fees over the past year, surpassing the Solana blockchain's revenue [3] - Hyperliquid generated $667 million, while Solana recorded $2.8 billion in annual revenue and $632 million in fees, highlighting the competitive landscape [3] - Hyperliquid captured 35% of all blockchain revenue in July, despite being launched only a year ago [3] Stablecoin Profitability - The stablecoin market has created substantial value, with issuers like Tether projected to earn $15 billion in profit this year, achieving a 99% profit margin [4] - Tether collects approximately $23 million daily in fees, making it the most profitable company globally per employee, outpacing major tech and banking firms [4] Evolution of Revenue Models - The crypto revenue velocity has increased as the ecosystem transitioned from protocols to applications that effectively monetize trading, attention, and market volatility [5] - Early DeFi protocols like Maker and Aave quickly reached $100 million in cumulative revenue, showcasing the rapid revenue generation potential [5] - The emergence of DeFi Attention Scalers, such as Pump, Axiom, and Hyperliquid, has led to more efficient monetization through rapid product iteration and diverse offerings [6]