Coinspeaker
Oct 30, 2025
4 0

1kx Report Projects $19.8B in Onchain Fees for 2025, App Fees Climb 126%

1kx's H1 2025 Onchain Revenue Report forecasts a 35% year-over-year increase in onchain fees, reaching $19.8 billion in 2025.

  • Application-layer fees grew 126% YoY, while blockchain-layer fees decreased.
  • Users paid a record $9.7 billion in onchain fees during H1 2025.
  • The report analyzed 1,244 protocols across six sectors using data from Dune, TokenTerminal, and DeFiLlama.

Sector Breakdown:

  • DeFi protocols generated 63% of H1 2025 fees ($6.1 billion), led by decentralized exchanges, perpetual trading platforms, and lending markets.
  • Blockchains accounted for 22% ($2.1 billion), wallets 8%, consumer applications 6%, DePIN 1%, and middleware 1%.
  • Fee-generating protocols increased from 125 in 2021 to 969 in H1 2025.

Blockchain Efficiency Gains

  • Average blockchain transaction fees fell 86% from the 2021 peak, driven by [Ethereum](https://holder.io/coins/eth/) scaling efforts.
  • Ethereum's share of on-chain fees dropped from over 40% in 2021 to less than 3% in 2025.
  • Daily transactions rose 2.7 times to 169 million; monthly active wallets increased 5.3 times to 273 million.

New Protocols and Market Shifts

  • [Solana](https://holder.io/coins/sol/) DEXs Meteora and Raydium gained market share, while Uniswap's declined from 44% to 16%.
  • Hyperliquid captured 35% of derivatives fees within a year of launching.
  • Jupiter increased its perpetual trading share from 5% to 45%.
  • Phantom wallet generated 30% of wallet sector fees after Q4 2024 monetization.
  • Protocols distributed $1.9 billion to token holders through buybacks and burns in Q3 2025.

Bar charts showcasing on-chain fees organized by year. | Source: 1kx report

Real-world asset tokenization fees increased 50 times YoY, with [Ondo Finance](https://www.coinspeaker.com/ondo-finance-expands-1-8b-tokenization-market-to-bnb-chain/) expanding its $1.8 billion market to [BNB Chain](https://holder.io/coins/bnb/) in Oct. 2025.

The report projects 2026 fees will reach $32 billion, a 63% increase driven by applications. The analysis excluded [Bitcoin](https://holder.io/coins/btc/), which primarily functions as a store of value and represents 58% of the crypto market capitalization.