Despite a dramatic decline in native token values over the past year, leading blockchain networks Ethereum, Solana, and Avalanche have experienced a surge in on-chain activity and a sharp drop in transaction costs, according to Bitwise’s inaugural quarterly staking report for Q2 2026. The findings reveal a pronounced divergence between market sentiment and actual network fundamentals.
The report highlights that ETH, SOL, and AVAX each lost roughly half or more of their value compared to a year earlier. Yet usage metrics moved decisively upward. Ethereum processed 203.9 million transactions during the quarter, up from 121.1 million in Q2 2025, with average throughput rising from 15 to 26 transactions per second following a block gas limit increase. The average transaction fee fell from about $1.08 to $0.31, while dollar-denominated network revenue dropped 51% to approximately $64 million. In ETH terms, however, revenue actually increased for the first time in more than a year.
Solana demonstrated similar momentum, handling approximately 9.8 billion non-voting transactions—near all-time highs and up from 8.9 billion a year earlier. Transaction costs crashed from around three cents to half a cent, dragging total revenue from $272 million to $51 million. Avalanche’s C-Chain saw the most dramatic growth, with volumes quadrupling to 235.6 million transactions from just 58 million, as costs plunged from 2.7 cents to 0.14 cents per transaction. Revenue fell accordingly to $330,000.
Bitwise Head of Onchain Research Kam Benbrik noted that there exists a clear gap between improving fundamentals and broader market gloom. “Blockchains are becoming both cheaper to use and more active,” he stated. The report attributes fee reductions largely to deliberate protocol improvements that expanded available blockspace, rather than a weakening of demand.
Staking participation remained resilient. Ethereum reached a record 40.2 million ETH staked (33% of total supply), fueled by institutional inflows from staking ETFs, corporate treasuries, and large holders. Solana’s staking ratio stood near 68%, Avalanche’s around 41%. Institutional engagement also extended into tokenized assets, real-world applications, and payments activity across these chains. Ongoing protocol roadmaps continue to target further scalability and user experience improvements, underscoring the underlying strength of the infrastructure even under softer market conditions.
