The year 2025 promises to be quite profitable for many DeFi investors. While the combined TVL of the sector has been contracting since the beginning of the year, there were several categories of protocols that managed to attract capital. Lending and Liquid Staking are the two most prominent types of DeFi platforms surviving the temporary recession quite well.
Finding high-growth crypto investments among over 20,000 different digital assets is extremely challenging even for people with experience. We want to dedicate some time to discussing some of the most interesting targets for investments in 2025. If you want to get on board with some of the hottest projects and don’t mind some risk, this article will be right up your alley.
Top cryptocurrencies in 2025
We are going to talk about several cryptocurrencies that are promising to deliver the best results for investors. Before giving you more detailed information about each, let’s list them in no particular order:
- Ethereum is the OG DeFi chain that has been around for over 8 years.
- Solana is one of the biggest competitors of the Ethereum network in recent years.
- Polkadot is a promising chain that should be on your radar in 2025.
- Cosmos can be a good choice for some investors who are interested in innovation.
We will cover all these cryptocurrencies and their respective networks. Note that we do not give financial advice. All the information is educational.
Ethereum is among the best
Despite losing a massive chunk of its market cap in 2024 and 2025, this network is still the biggest DeFi ecosystem with over 20 million unique wallet addresses interacting with various EVM protocols in December. The current Ethereum dominance is at 7.62%, and the market cap is close to $188 billion.
Ethereum and Solana upgrades set the tone for the whole DeFi ecosystem. Here are some important changes that will affect the former in the near future:
- The Pectra upgrade will redefine account abstraction to allow developers to scale their projects faster and with better security.
- Improved Verkle Trees and Proposer-Builder Separation are stepping stones for the implementation of better UX solutions.
- Danksharding is a way to improve layer-2 functionality and make zk-rollups and cross-chain tech faster, better, and stronger.
These innovations should increase the interest in ETH and may drive up the price of the token by the end of 2025. Note that it is not a forecast. It is a speculation and a hopeful vision of the biggest DeFi ecosystem.
Solana has been making progress
By January, Solana reached a significant milestone when the combined TVL of the chain eclipsed an important $11.7 billion mark. It was still dwarfed by Ethereum’s $66.4 billion. However, the growth of the Solana ecosystem was undeniable.
The network was full of high-potential crypto projects, including high-yield protocols focused on incentives and memecoins that attracted immense attention from newcomers. Solana is also making progress toward key upgrades:
- Transaction size increase is an important change that will make it easier for developers to build more complex instruments. The current size is 1,232 bytes, which is clearly not enough.
- The anti-inflationary proposal is to adjust the inflation rate by reducing the selling pressure from stakers who are interested in liquidating their rewards as quickly as possible.
The network is facing an upcoming wave of regulatory changes that may severely affect its status quo. For instance, it is currently being researched by the SEC as many investors are interested in approving SOL ETFs. Australian regulators are also interested in this chain and its digital assets.
Polkadot can be big in 2025
Polkadot is a unique layer-0 solution that wants to create an interconnected Web 3.0 ecosystem that can be used by all DeFi enthusiasts. Currently, it is a solid chain with over $5 billion invested across all its protocols. It has over 600 different projects and can handle over 623 thousand transactions per second.
Despite falling from its ATH, the DOT token is still trading 20% higher compared to its launch price and has a respectable 24-hour volume of over $440 million.
The network is expecting several core upgrades:
- XCM v5 upgrade will improve cross-chain functionality by reducing fees, creating the foundation for multi-asset transactions, and other useful features.
- CoreChains upgrade is coming in the third quarter of 2025. It will allow for blockchain hosting and notable improvements to the digital infrastructure.
- SAFROLE is an incredibly important change to the core architecture of the chain. It will remove forking and make the network completely immutable.
These changes are making Polkadot look like the future of blockchain ecosystems and may reignite the interest in its utility among developers and investors. It is a good idea to keep an eye on this layer-0 chain.
Cosmos is still around
ATOM has been doing terribly during the last three years. It has already dipped dangerously close to the all-time low. However, it is also an opportunity for some brave investors to get on board while prices are at rock bottom. Whether one should do it is a different question altogether.
Cosmos is another layer-0 network hoping to build a unified Web 3.0 ecosystem. It is far behind Polkadot, but some upgrades seem quite interesting.
One of the best things about this particular network is that it is very easy to work with for a developer. We decided to include this network in the list because it still has potential.
The best coins for long-term holding
When it comes to selecting the right digital asset for “hodling”, investors should focus on tokens that have been around for ages and still have respectable market capitalizations and investor activity. Ethereum, Bitcoin, most stablecoins, Solana, and Doge are good examples of projects that have survived the crypto winter and come out quite strong.
DeFi 2.0 and RWA tokens are promising targets for capital allocation. However, these are concepts that still need testing. For instance, MakerDAO is one of the most important players in the RWA field in 2025. The protocol is expanding into the RWA sector to provide new financial services to the community of DeFi users. Whether you should get on board is a question that requires heavy contemplation.
The main takeaway
Before investing in various cryptocurrencies, you should consider the risks of crypto investing. It can be dangerous to put your savings into unreliable digital assets. However, building a portfolio without them also seems unwise considering the all-time performance of Ethereum and Bitcoin.
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