10 Most Popular Layer-1 Tokens of 2024

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Layer-1 blockchains serve as the foundational infrastructure of the cryptocurrency ecosystem, powering decentralized applications, smart contracts, and digital economies. In 2024, several Layer-1 (L1) networks have emerged as leaders in innovation, adoption, and market capitalization. This guide explores the top 10 most popular L1 tokens, their unique features, and why they matter in today’s evolving blockchain landscape.

What Is a Layer-1 Token?

A Layer-1 blockchain is the base protocol where core network rules, consensus mechanisms, and security models are established. These networks process and validate transactions independently, without relying on external layers. Examples include Bitcoin, Ethereum, and Solana.

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The native cryptocurrency of a Layer-1 network is known as a Layer-1 token. These tokens play essential roles such as:

Common consensus mechanisms used by L1 blockchains include Proof of Work (PoW) and Proof of Stake (PoS). PoW relies on computational power (e.g., Bitcoin), while PoS uses staked tokens to validate transactions (e.g., Ethereum 2.0). As scalability becomes a priority, many L1s are adopting innovations like sharding, sidechains, and novel consensus algorithms to improve throughput and reduce latency.

Key Uses of Layer-1 Tokens

Beyond enabling basic transactions, Layer-1 tokens support advanced functionalities within their ecosystems.

Transaction and Gas Fees

Every interaction on a blockchain—whether sending funds or executing a smart contract—requires a fee paid in the network’s native token. For example:

These fees compensate validators or miners for securing the network.

Staking and Network Security

In PoS-based blockchains, users can stake their tokens to participate in consensus. By locking up assets, stakers help validate blocks and earn rewards. This mechanism enhances decentralization and security. Notable staking-enabled L1s include:

Governance Participation

Many modern L1 networks allow token holders to vote on protocol upgrades and policy changes. This decentralized governance model ensures community-driven development. For instance:

This shift empowers users and promotes long-term sustainability.

The 10 Most Popular Layer-1 Tokens in 2024

Bitcoin (BTC)

As the first cryptocurrency, Bitcoin remains the most recognized and valuable Layer-1 network. Operating on a PoW consensus, BTC serves primarily as a digital store of value and peer-to-peer payment system. In 2024, the approval of spot Bitcoin ETFs in the U.S. marked a historic milestone, driving institutional adoption and pushing BTC to new all-time highs.

Bitcoin’s limited supply of 21 million coins reinforces its deflationary nature, making it a popular hedge against inflation.

Ethereum (ETH)

Ethereum is the leading smart contract platform, powering decentralized finance (DeFi), NFTs, and Web3 applications. After transitioning to PoS with "The Merge," Ethereum significantly reduced its energy consumption while enhancing scalability through upgrades like EIP-4844.

ETH is used to pay gas fees and interact with dApps. Its robust developer community and extensive ecosystem solidify its position as the go-to L1 for innovation.

👉 See how Ethereum continues to lead in smart contract adoption.

Solana (SOL)

Known for its blazing-fast speeds and low fees, Solana leverages a unique hybrid consensus combining Proof of History (PoH) with PoS. This enables thousands of transactions per second (TPS), making it ideal for high-frequency applications like DeFi and gaming.

Despite past network outages, Solana rebounded strongly in 2024 with improved stability and growing user engagement.

Cronos (CRO)

Built on the Cosmos SDK, Cronos focuses on interoperability and Ethereum compatibility. It integrates seamlessly with the Crypto.com ecosystem and supports cross-chain asset transfers via IBC (Inter-Blockchain Communication).

CRO is used for staking, fee payments, and governance, offering users utility across exchanges, wallets, and dApps.

Cardano (ADA)

Cardano stands out for its research-driven approach, emphasizing academic rigor and peer-reviewed development. Using a PoS model called Ouroboros, ADA ensures energy efficiency and long-term sustainability.

Its layered architecture separates settlement and computation, enabling flexible upgrades and scalable smart contracts.

Avalanche (AVAX)

Avalanche delivers high throughput and sub-second finality through its innovative consensus protocol. The network supports custom blockchains via "subnets," allowing enterprises and developers to launch tailored environments.

AVAX powers transaction fees, staking, and governance, making it central to one of the most adaptable L1 ecosystems.

Cosmos (ATOM)

Cosmos aims to solve blockchain fragmentation by enabling interoperability between independent chains. Using the Tendermint BFT consensus, ATOM secures the Cosmos Hub and facilitates cross-chain communication via IBC.

The "Internet of Blockchains" vision positions Cosmos as a key player in multi-chain infrastructure.

Bitcoin Cash (BCH)

A hard fork of Bitcoin, Bitcoin Cash prioritizes fast and cheap transactions by increasing block size. While it shares BTC’s PoW model, BCH is optimized for everyday payments rather than store-of-value use cases.

In 2024, renewed interest in Bitcoin’s ecosystem—driven by BRC-20 tokens and Ordinals—also boosted attention on BCH.

NEAR Protocol (NEAR)

NEAR Protocol is designed for scalability and developer accessibility. It uses dynamic sharding ("Nightshade") to distribute network load, enabling high performance without sacrificing decentralization.

NEAR’s human-readable account names and intuitive tooling attract new developers to build dApps efficiently.

Sui (SUI)

Developed by former Meta engineers, Sui is built for speed and low-latency execution. Its object-centric data model allows parallel transaction processing, drastically improving throughput.

SUI’s innovative architecture makes it ideal for real-time applications like gaming and social platforms.

Frequently Asked Questions

Q: What makes a Layer-1 blockchain different from Layer-2?
A: Layer-1 is the base blockchain that handles consensus and security independently. Layer-2 solutions (like rollups) operate on top of L1s to improve scalability by processing transactions off-chain before settling them back on the mainnet.

Q: Can Layer-1 tokens be staked for passive income?
A: Yes—most PoS-based L1 tokens (e.g., ETH, ADA, ATOM) support staking. Users lock their tokens to help secure the network and earn yield in return.

Q: Are Layer-1 tokens good investments?
A: They can be, but come with risks. Market volatility, technological shifts, and regulatory changes affect performance. Always conduct thorough research before investing.

Q: How do I choose which L1 token to invest in?
A: Consider factors like network security, developer activity, use case relevance, scalability roadmap, and community support. Diversification across multiple strong L1s may reduce risk.

Q: Is Bitcoin considered a Layer-1 token?
A: Yes—Bitcoin is the original Layer-1 blockchain. While it lacks smart contract functionality, it remains foundational to the entire crypto ecosystem.

Final Thoughts

The evolution of Layer-1 blockchains reflects the broader maturation of blockchain technology. From Bitcoin’s pioneering role to next-gen platforms like Solana, Sui, and NEAR Protocol, each project contributes uniquely to scalability, security, and interoperability.

As adoption grows across finance, gaming, identity, and supply chains, these foundational networks will continue to drive innovation. Whether you're an investor, developer, or enthusiast, understanding the strengths and use cases of major L1 tokens is crucial in navigating the future of decentralization.

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Note: This article is for informational purposes only and does not constitute financial advice. Always perform your own due diligence before making investment decisions.