Should crypto investors buy a problematic but newly revitalized and undeniably resurgent asset, or a fresh-faced rising champion? That's the dilemma separating Dogecoin (DOGE 0.26%), which just got approved for inclusion in U.S. exchange‑traded funds (ETFs), and Hyperliquid (HYPE 1.07%), a young layer‑1 (L1) blockchain that emphasizes speed, low fees, and a lot of other in-demand features for crypto traders.
Let's compare and contrast these two coins to see which one is more worth buying and holding over the next three years.
Image source: Getty Images.
Two paths, two playbooks
Let's start by taking a look at how Dogecoin has changed, and how it might change even more.
On Sept. 18, the first U.S. Dogecoin ETF, issued by Rex‑Osprey, began trading, a notable milestone for the king of meme coins. The launch helps explain why Dogecoin's market cap sits around $40 billion today. It now has access to capital inflows from retirement and brokerage accounts for the first time, which could pump its price up even further.
Under the hood, Dogecoin does not support native smart contracts, so complex applications typically require external systems or separate networks. However, the coin's developer community is now debating some serious additions that could enable verification of certain cryptographic proofs on-chain, thereby potentially opening the door for the creation of smart-contract‑style layer‑2 (L2) chains in the future.
In other words, Dogecoin's tech could be getting a big upgrade that would massively increase its capabilities, including potentially creating revenue-bearing (or at least token-burning) features. While there isn't a clear time frame for when those additions will be fully conceived or implemented, the point is that Dogecoin may become a more serious investment in the future by adding some functionality to its meme coin brand.
Hyperliquid, on the other hand, is a layer‑1 (L1) blockchain that is built around supporting the function of its main decentralized exchange (DEX).
It has smart-contract capabilities, and elements of the DEX's order book are handled at the protocol level, which makes them more efficient for users. And that efficiency is a big part of the reason why the chain reported $3.2 million in application revenue on Sept. 18 alone, as well as $6.2 billion in stablecoin value. Hyperliquid also offers staking, with documentation targeting a yield of about 2.4%.
Overall, it's a specialist blockchain that's mostly aimed at crypto traders who want to use leverage and trade financial derivatives on a wide swath of cryptocurrencies, specifically perpetual futures. Everything from crypto majors to altcoins and meme coins are listed on its DEX, and its user base is quite enthusiastic about its feature set compared to the other options for trading platforms.
What actually matters for a three‑year hold
For a buy‑and‑hold investor, two things tend to be of utmost importance: cash-flow‑like signals and credible development and ecosystem roadmaps.
On the cash-flow side of things, Hyperliquid obviously has the edge over Dogecoin right now, and that is very likely to continue. Daily protocol revenue and application revenue generated from extracting small fees from transactions are not the same as dividends paid into your account, but it does indicate real usage and pricing power, and it does suggest that there will be ongoing demand for the Hyperliquid native token.
Dogecoin has no revenue flywheel whatsoever, and the proposals being discussed would not necessarily yield a lot of revenue or a smaller float right off the bat. So Dogecoin bulls must rely more on flows catalyzed by the ETF and investor sentiment for their returns -- and if sentiment dries up, you can bet that the ETF inflows will become outflows in a jiffy.
In terms of roadmap and ecosystem credibility, Hyperliquid's design is already live and shipping, with clear documentation around consensus, execution, and staking operations. Its decentralized finance (DeFi) ecosystem, while nascent, could grow as the main DEX platform itself attracts more users.
In contrast, Dogecoin's L2 conversation is promising, and it could eventually unlock broader utility that would help close the gap, but there is real implementation risk and timing uncertainty, and no real track record of success to point to.
Therefore, for investors looking to buy and hold a cryptocurrency for three years, Hyperliquid is the significantly better bet today. It already exhibits the kind of economic signal that tends to sustain a thesis over time, it has a clear build‑out plan, and it gives holders a structural way to stay aligned with network growth via staking if they choose to do so.
