Solana ($SOL )

Category: Smart contract platform

Key Strength: Speed and low transaction cost

TPS (Transactions Per Second): Up to 65,000

Consensus Mechanism: Proof of History (PoH) + Proof of Stake (PoS)

Why It Has Potential in 2025:

• High throughput and low fees make it ideal for DeFi, NFTs, and gaming.

Solana’s ecosystem has been growing rapidly with projects like Helium, Audius, and Magic Eden.

• The Firedancer upgrade, scheduled for full deployment in 2025, is expected to further increase efficiency and reduce downtime.

• Institutional interest is rising; it’s one of the top 10 holdings in many crypto-focused funds.

Risks:

• Network outages have plagued Solana in the past.

• Heavy VC backing, which some criticize for centralization.

2. Avalanche ($AVAX )

Category: Layer 1 blockchain

Key Strength: Customizability and subnet architecture

TPS: Over 4,500

Consensus Mechanism: Avalanche Consensus + Snowman

Why It Has Potential in 2025:

• Allows developers to create their own independent blockchains (subnets) with customizable rules.

• Known for strong partnerships, including Amazon Web Services (AWS) and Deloitte.

• The tokenomics are solid, with capped supply and strong burn mechanics — over 3 million AVAX tokens already burned.

• It’s being used in real-world asset tokenization, including RWAs and stablecoin deployment.

Risks:

• Lower adoption than Solana or Ethereum.

• Faces stiff competition from newer L1s and L2s.