Trader Joe Surpasses Uniswap as Second-Largest DEX by Flipping PancakeSwap

Trader Joe Surpasses PancakeSwap to Become Second-Largest DEX

Trader Joe, the decentralized exchange (DEX) dominating Avalanche, has now become the second-largest DEX by fees generated in the past 24 hours, surpassing PancakeSwap. According to Token Terminal data cited by an Artemis Researcher, Trader Joe processed over $142 million in trading volume in the last day, with 98% of fees coming from tokens based in Avalanche. This highlights the importance of Trader Joe in the high-throughput blockchain, which has seen increased on-chain activity recently.

Liquidity Book and Enhanced Efficiency

In addition to its trading volume, Trader Joe confirmed that it facilitated over $100 million in trading volume through its Liquidity Book feature. This feature allows traders to create customized strategies while benefiting from low fees. Compared to other traditional automated market maker (AMM) platforms like Uniswap, the Liquidity Book significantly enhances efficiency and flexibility.

Trader Joe’s Position Compared to Uniswap

Within the past 24 hours, Trader Joe generated over $216,000 in fees, exceeding the $151,000 generated by PancakeSwap. However, when combined, their total is less than half of what Uniswap recorded. Uniswap, which operates on multiple platforms and blockchains including BNB Chain, generated over $1.9 million in trading fees during the same period.

Avalanche’s Rising Trend and Meme Coins

The future of Trader Joe as the second most active DEX after Uniswap is uncertain. However, in recent months, the Avalanche ecosystem has gained popularity alongside Solana and other low-fee but high-throughput environments such as Ethereum-layer-2s. Additionally, more meme coin projects are showing interest in deploying on Avalanche’s sub-nets due to low fees and high scalability. The Avalanche Foundation has announced an initiative to encourage meme coin projects, potentially benefiting Trader Joe.

Growth of Trader Joe and TVL

Trader Joe’s total value locked (TVL) has been steadily increasing in recent trading weeks. According to DeFiLlama, Trader Joe’s TVL currently stands at over $172 million, with more than $126 million in Avalanche-based assets.