What is Layer 1 Blockchain and notable projects in 2025

What is Layer 1 Blockchain essentially? They are independent blockchain networks that operate as the main foundation of a decentralized technology ecosystem. Layer 1 blockchains can process, validate, and finalize all transactions on their own without relying on any external networks. Each Layer 1 Blockchain typically has its own native token, used to pay transaction fees and secure the network, and also serves as infrastructure for decentralized applications (dApps), protocols built on top, or Layer 2 solutions.

How Different Layer 1 Blockchains Vary in Processing Performance

The first generations of Layer 1, like Bitcoin and Ethereum, revolutionized blockchain technology but faced limitations in transaction processing capacity. Bitcoin can handle about 2.83 to 4.17 transactions per second (TPS), with each block containing roughly 1,700 to 2,500 transactions and taking 10 minutes to confirm. Ethereum, with a block time of 13 seconds and a gas limit of 30 million per block, achieves approximately 11.8 TPS when accounting for complex gas requirements from smart contracts.

Newer Layer 1 blockchains have effectively addressed these issues. Solana offers processing speeds of 110,000 TPS, while Aptos reaches up to 160,000 TPS, enabling fast transactions at significantly lower costs. These improvements not only boost speed but also enhance user experience and open up new use cases for blockchain technology.

Prominent Layer 1 Projects and Market Trends in 2025

Blockchain developers have focused on new Layer 1 solutions to overcome the limitations of earlier generations, bringing advanced features and better applications. Aptos (APT) is currently trading at $1.04 with a 24-hour increase of +10.80%, demonstrating the strength of high-performance narratives. Sui (SUI) is at $0.95 with a slight change of +0.13%, while Sei (SEI) trades at $0.06 with a correction of -0.50%.

In comparison, Bitcoin is at $71.02K with a +0.36% increase over 24 hours, and Ethereum is at $2.16K with a +0.79% rise. The differences in price volatility reflect the varying risk profiles between established Layer 1s and emerging ones.

Investment Opportunities in Layer 1 Blockchains at Present

Investing in Layer 1 Blockchains offers a combination of growth potential and safety compared to other crypto assets, especially as the market sees the development of new generation Layer 1s. Projects like APT, SUI, and SEI have attracted investor interest due to their technical features and real-world use cases.

However, investors should recognize that Layer 1 Blockchains remain part of a volatile crypto market where risks and opportunities coexist. Continuous technological development will determine the long-term success of each Layer 1.