In the fast-paced world of decentralized finance (DeFi), keeping tabs on where protocols are making their money can reveal a lot about emerging trends. Recently, Token Terminal, a leading crypto analytics platform, shared an eye-opening chart on X (formerly Twitter) highlighting that Euler Finance is generating approximately 45.5% of its revenue on the Avalanche blockchain. This insight not only underscores Avalanche's growing prominence but also hints at shifting dynamics in the DeFi landscape.

Breaking Down the Revenue Chart

The stacked bar chart from Token Terminal tracks Euler's weekly revenue percentages across multiple blockchains from January 2025 to July 2025. Each color represents a different deployment of Euler:

• Red: Avalanche
• Purple: Ethereum
• White: Sonic
• Brown: Berachain
• Pink: Unichain
• Yellow: BNB Chain
• Dark Blue: Base
• Light Blue: Arbitrum One

Early in the year, revenue was dominated by chains like Base and Arbitrum One, shown in shades of blue. However, as the months progressed, Avalanche (in red) steadily climbed, capturing a larger share. By mid-2025, it accounts for nearly half of Euler's total revenue. This shift suggests that users are increasingly turning to Avalanche for lending and borrowing activities on Euler, possibly drawn by its high throughput, low fees, and robust ecosystem.

What is Euler Finance?

For those new to DeFi, Euler Finance is a non-custodial lending protocol that lets users lend out their crypto assets to earn interest or borrow against them for leverage. Unlike traditional banks, everything happens on the blockchain, giving users full control over their funds. Euler stands out with features like permissionless listing of assets and efficient risk management tools, making it a favorite among advanced traders and liquidity providers.

Euler has expanded beyond its Ethereum roots, deploying on multiple chains to tap into diverse user bases and reduce dependency on a single network. This multi-chain strategy is paying off, as seen in the revenue diversification.

Why Avalanche is Leading the Pack

Avalanche, often abbreviated as AVAX, is a layer-1 blockchain known for its speed—processing thousands of transactions per second—and eco-friendly consensus mechanism. It's become a hotspot for DeFi applications and, notably, meme tokens. Chains like Avalanche attract meme coin projects because of their low transaction costs and fast settlement times, which are crucial for the high-volume, speculative trading that meme tokens thrive on.

This meme token boom on Avalanche could be indirectly boosting Euler's revenue. As more liquidity flows into AVAX-based assets, including memes, users need places to lend, borrow, and leverage these tokens. Euler fills that gap, earning fees from interest payments and liquidations. The data indicates that Avalanche's ecosystem is maturing, drawing in serious DeFi activity alongside the fun of meme trading.

Implications for Meme Token Enthusiasts and Blockchain Practitioners

If you're into meme tokens, this trend is worth watching. Meme coins on Avalanche, such as those launched via its subnets or integrated DEXs, benefit from surrounding DeFi infrastructure like Euler. Higher revenue for protocols means more incentives, better liquidity, and potentially more innovative features tailored to volatile assets like memes.

For broader blockchain practitioners, Euler's revenue split highlights the importance of multi-chain strategies. Relying solely on Ethereum can expose protocols to high gas fees and congestion, whereas diversifying to chains like Avalanche, Base, or BNB Chain spreads risk and captures new markets. It's a reminder that the DeFi space is evolving, with layer-1 and layer-2 solutions competing fiercely for dominance.

Token Terminal's post serves as a timely "ICYMI" (in case you missed it), emphasizing Avalanche's role in Euler's success. As we head into the latter half of 2025, keep an eye on how these revenue patterns evolve— they could signal the next big shift in crypto.

For more updates on DeFi trends, meme token insights, and blockchain news, stay tuned to Meme Insider. What are your thoughts on Avalanche's rise? Share in the comments below!