1 Top Cryptocurrency Stock to Buy in 2025

The crypto market has had a strong start to the year, continuing its upward trend from 2024. One cryptocurrency stock that could be poised for significant growth is Coinbase (NASDAQ: COIN), which is up over 8% this year as I write this. For the past year, its returns are about five times higher than those of the S&P 500.

Coinbase is the largest U.S. crypto exchange by trading volume, and it tends to perform well during crypto’s bull markets. Here’s why it could deliver impressive returns in 2025 and beyond.

While it’s still early, the Trump administration appears to be highly supportive of cryptocurrencies. On Jan. 23, President Donald Trump signed an executive order to promote the advancement of cryptocurrencies and explore building a stockpile of digital assets. He has also pledged to halt aggressive enforcement actions and regulatory oversight of the crypto industry.

The president’s Treasury nominee, Scott Bessent, seems pro-crypto. Last summer, he told Fox Business that he’s “excited about [Trump’s] embrace of crypto” and that “the crypto economy is here to stay.” Trump’s pick for chairman of the Securities and Exchange Commission (SEC), Paul Atkins, is expected to be friendlier to the crypto industry than previous chairman Gary Gensler, who advocated for stronger regulations.

That’s good news for Coinbase, which has been locked in a lawsuit with the SEC since 2023 over allegations that the company operated as an unregistered securities exchange.

If these leaders’ approach remains consistent, it could mean a more relaxed regulatory climate for the next four years, which would benefit the crypto market and Coinbase. It could mean fewer legal challenges to deal with, and if cryptocurrency isn’t such a hot-button issue, that could also help attract more institutional investors.

Coinbase’s core business is its crypto exchange services. It supports over 240 digital assets, including Bitcoin, Solana, Dogecoin, and hundreds of smaller altcoins. Considering many crypto investors like trying to find unknown cryptos that will skyrocket, Coinbase’s large roster is a big selling point.

Equally as important is that Coinbase is easy to use. Cryptocurrency is a complicated subject that can be intimidating for new investors. Coinbase has educational modules, rewards users who complete those modules with free crypto, and has a beginner-friendly trading platform.

Those benefits have helped Coinbase build its user base and trading volume. In the third quarter of 2024, it had 7.8 million monthly transacting users (MTUs), a 16% year-over-year increase. Trading volume was $185 billion, increasing by an impressive 143% year over year.