Top Layer-1 Cryptocurrencies in 2025

Layer-1 blockchains serve as the base for the entire blockchain technology. All tokens, dApps, NFTs, DeFi protocols and decentralized exchanges are built on top of layer-1 chains like Bitcoin, Ethereum, XRP, Solana, BNB Chain, Dogecoin and many others.

Most layer-1 chains are unique with special features, unique consensus mechanisms and have their own priorities. Some are known for cutting edge speed while others are more popular due to their level of decentralization. Some are known for quantum proof network while many are popular for their ultra-low fees. Together, these layer-1 chains cater to different range of users and applications, often in a complementary manner.

Generally, each layer-1 cryptocurrency has its own blockchain and hence the classification Layer-1. Here, each blockchain differs from each other and can be classified based on the type of consensus mechanism they follow.

Types of Layer-1 Blockchains

Layer-1 blockchains differ from each other with respect to their consensus mechanisms. These consensus mechanisms are rules and protocols based on which a transaction is validated on a blockchain.

Remember: A blockchain is a collection of blocks, connected in a linear fashion. Within a blockchain each block is a collection of several individual transactions.

There are several consensus mechanisms that are followed by Layer-1 chains. Below is a list of top consensus mechanisms with their examples. There are many blockchains that use unique consensus mechanisms but most of those are variations of the ones given below.

• Proof of Work (PoW): Those chains where validators need to do complex calculations to obtain nonce values which validates transactions.
  • Example: Bitcoin, Dogecoin, Litecoin
• Proof of Stake (PoS): Here, a validator receives transactions in proportion to their collateral (stake). If they post false transactions, this collateral is confiscated.
  • Example: Ethereum, Solana
• Proof of Delegated Stake (PoDS): It is the same as proof of stake but here validators receive collateral contribution from small stakers and share the rewards with them.
  • Example:
• Proof of Authority (PoA): Here, a person or a group of persons are nominated to become validators. Anyone cannot join as a validator, though people can stake for rewards.
  • Example: BNB Chain
• Proof of Delegated Authority (PoDA): These chains have a central elector and that elector chooses validators to verify the transactions. PoDS happens mostly in private blockchains.
  • Example: Digital e-Rupee, Digital CNY
• Proof of History (PoH): In Proof of History, a validator signs time stamps on blocks which after a certain amount of time become valid.
  • Example: Solana
• Proof of Elapsed Time (PoET): In these blockchains, a transaction is considered valid after no objection to it has been made for a certain period after it is broadcasted to the network.
  • Example: Intel Sawtooth
• Proof of Liquidity (PoL): In these blockchains, the higher the liquidity provided by the validator is, the higher number of transactions they get to validate.
  • Example: Berachain
• Proof of Burn (PoB): In these chains, the greater the number of native tokens a validator burns, the greater is the amount of transactions given to them for verification.
  • Example: Slimcoin
• Proof of Capacity (PoC): Here, the number of transactions a validator receives to verify, is proportional to the capacity of their node.
  • Example: Burstcoin

#Note: Solana uses a dual consensus mechanism, combining Proof of Stake with Proof of History.

Important Note on DAG Networks

Top 5 Layer-1 Coins

1. Bitcoin

Bitcoin was the first blockchain to solve the double spending problem and present the first peer to peer money transfer system that did not require any middleman. It was presented by the mysterious cryptographer Satoshi Nakamoto in October 2008 and was soon launched in 2009.

At present, Bitcoin is the seventh largest asset in the world and is expected to become one of the top 5 very soon.

2. Ethereum

Ethereum was the first layer-1 blockchain that presented the feature of smart contracts, which were automated coded applications able to perform complex financial operations like token swap, bridging tokens from one chain to another, lending, borrowing, market making, and a lot more things.

Ethereum has slowly developed to become one of the central pieces of blockchain infrastructure on which several other chains rely.

Ethereum runs on a virtual computer made of thousands of nodes. This virtual computer called the Ethereum Virtual Machine or EVM is where all its smart contracts, DeFi protocols, dApps, and other applications run.

3. XRP

XRP is one of the oldest layer-1 coins and its blockchain, the XRP Ledger was made public in 2013 to improve upon the slow transaction speeds of early blockchains like Bitcoin. The blockchain lacks the capability of smart contracts but has a very low settlement time of 3 to 5 seconds, making it a top choice for financial institutions, where people seek real-time settlements.

As a result, XRP was adopted by several financial and non-financial institutions including Google Capital, Tencent, Stripe, Amazon, and many others.

4. Solana

Solana is the fastest major layer-1 blockchain with a real-life tested capacity of of 65,000 transactions per second (tested during TRUMP launch). It has a unique dual consensus protocol, combining the Proof of Stake and the Proof of History consensus mechanisms which allows it to remain decentralized despite having a very high TPS.

5. BNB Chain

The BNB chain is a layer-1 blockchain developed by Binance and is based on the Ethereum Blockchain. The chain features ultra low fees and wrapped versions of almost all major tokens which allows beginners to self-custody their assets on the BNB chain with low cost.

Frequently Asked Questions