2025: The Rise of Next-Gen Layer 1 Blockchains

The blockchain industry continues to develop rapidly, especially regarding scalability, which is one of the main challenges. In 2025, Layer 1 (L1) blockchain technology showed significant progress with the arrival of various innovative solutions.

Ethereum: Navigating Challenges Amidst Competition

As one of the largest L1 blockchains, Ethereum faces various challenges regarding its scalability and performance. Recently, it has been considered an underperformer compared to other altcoins, such as Solana and Sui.

One of the main causes is the lack of a clear vision or “north star” that can direct its developers and community.

Unlike Solana, which focuses on decentralization and high performance, and Bitcoin, which stays true to its vision as “digital gold money,” Ethereum still struggles to determine its ultimate direction.

The debate over Ethereum’s primary purpose, whether as a value-capture tool or a means of cheap and efficient transactions, further complicates the situation. Ethereum is vulnerable to criticism and competitor attacks without a clear roadmap and purposeful focus.

Nonetheless, the Ethereum ecosystem remains strong, supported by many great protocols that have long led the market.

However, Ethereum’s future success is not guaranteed as new competitors continue to emerge. Ethereum’s ability to adapt and innovate will be key to maintaining its position.

Solana and Sui: Two Shining New Stars

Since 2023, Solana has experienced a significant resurgence, with tremendous growth in the on-chain economy. Its Real Economic Value (Rev) is more than double that of Ethereum, indicating high demand for its block space.

Many projects and tokens are migrating to Solana, including migration to Layer 2 (L2). Solana’s mature infrastructure makes it easy for developers to build applications, further strengthening its position.

The outlook for Solana in 2025 remains optimistic, with predictions that Solana could reach a higher valuation than Ethereum. Solana’s aggressive team and focus on technology development are key factors in this growth.

Sui stands out thanks to its use of the developer-friendly Move virtual machine. The move enables more flexible and secure application development, attracting many developers to build on the Sui ecosystem.

With a fully diluted valuation (FDV) three times that of Aptos, Sui shows excellent potential for market adoption. Support from an experienced team and massive investment flows (reaching 3 billion dollars through 2024) make Sui one of the L1 blockchains to be reckoned with. Sui’s growing integration and ecosystem also strengthen its position.

Other Potential L1 Blockchains: Mandala Chain, Delta, and Fogo

Apart from Ethereum, Solana, and Sui, some other L1 blockchains also show interesting potential.

Mandala Chain is a new L1 blockchain that focuses on integrating with the government and enterprise sectors. With support from Polkadot and various major investors, Mandala Chain has the potential to become a major platform for blockchain applications.

Flagship projects such as digital identity.id and collaboration with the banking sector demonstrate Mandala Chain’s commitment.

Delta offers a unique approach that combines a modular and monolithic vision. With zero-knowledge-proof technology, Delta enables seamless interoperability between blockchains without needing external bridges.

This provides a better user experience and reduces complexity. Delta also offers a well-integrated layer two stack, making it seem like users are using only one blockchain.

Fogo is still a mystery, but it is known as an innovative layer one experiment with SVM (Secure Virtual Machine) technology.

Although information about Fogo is still limited, expectations for the technology used make it one of the L1 blockchains to watch. Its innovation potential could change the landscape of L1 blockchains.

Asset Migration Trends and the Future of L1 Blockchains

The trend of migrating assets and projects to other blockchains, especially Solana and Layer 2, is increasing. Many projects are not satisfied with the performance or vision of their home blockchain and choose to move.

This migration shows a healthy competitive dynamic, with each blockchain viewed as offering the best solution. Fragmentation at Layer 2 is also a major concern, with many solutions that are fragmented and difficult to integrate.

Despite these challenges, optimism for the future of L1 blockchains remains high. Solana and Sui show that technological innovation and a clear focus can bring significant growth. New L1 blockchains such as Mandala Chain, Delta, and Fogo also show room for innovation and diversification.

Innovation, adaptation, and adoption are the keys to future success. To stay relevant, L1 blockchains must continue to innovate and adapt to the market’s evolving needs.

Intense competition is expected to drive faster technological advancements and more efficient solutions.

Conclusion

The year 2025 marks a crucial period in the evolution of Layer 1 blockchain technology. Ethereum must redefine its vision, while Solana and Sui continue to show promising growth.

The emergence of new L1 blockchains such as Mandala Chain, Delta, and Fogo adds to the competitive dynamic. With a more precise focus and technological innovation, L1 blockchains are expected to overcome scalability challenges and provide more efficient solutions for various applications in the future.

Stay tuned to the blockchain ecosystem to stay updated with the latest developments.