Here’s How Much Money You’d Have If You Invested Your Tax Refund in Crypto 3 Years Ago
Written by
Gabrielle Olya
Edited by
Molly Sullivan
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The average tax refund amount is about $3,000, a sizable sum of money for many Americans. And that sum of money could potentially turn into more if invested wisely.
While investing in cryptocurrency certainly comes with a high level of risk, it also comes with a high potential for reward. A recent analysis conducted by Token Metrics found that if you had invested a $3,000 tax refund in the four major tokens — bitcoin, Ethereum, XRP and Solana — every April since 2022, you’d now have $22,569.
Here’s a closer look at why you might consider investing your tax refund in crypto and which cryptocurrencies to consider.
How a $3K Refund Could Turn Into $22K
According to the Token Metrics analysis, if you had invested $3,000 into bitcoin, Ethereum, XRP and Solana in April 2022, in one year, you’d have $6,059. If you had invested $3,000 into bitcoin, Ethereum, XRP and Solana in April 2023, in one year, you’d have $10,998. And if you had invested $3,000 into bitcoin, Ethereum, XRP and Solana in April 2024, in one year, you’d have $5,517.
“Instead of spending [your tax refund] on short-term wants, putting it into crypto could turn that one-time check into long-term upside,” said Ian Balina, found and CEO of Token Metrics. “If you’d put your average $3,000 refund into bitcoin, Ethereum, XRP and Solana each April since 2022, you’d be sitting on about $22.5k today. That’s nearly a 7x return — not because of luck, but because of consistency.”
For investors willing to take some risk, investing a tax refund in crypto has the potential to pay off handsomely.
“Crypto moves fast and, historically, it’s rewarded those who show up early and consistently,” Balina said. “But this isn’t about chasing pumps. It’s about building positions in quality projects with staying power — think bitcoin, Ethereum and Layer 1s [base blockchain networks] with real traction. This is where generational wealth gets built.”
The Best Crypto for Your 2025 Tax Refund
If you haven’t yet decided what you’re going to do with your tax refund this year and are interested in investing in crypto, Balina recommended investing in Solana and bitcoin.
“Bitcoin remains the foundation of a crypto portfolio,” he said. “It’s the most battle-tested asset, and its role as digital gold continues to strengthen, especially as institutional adoption grows.
“Solana, on the other hand, represents the next wave of blockchain innovation,” Balina continued. “It’s shown resilience, scalability and increasing developer traction, positioning itself as one of the leading smart contract platforms with real-world use cases.”
Splitting your refund check between the two cryptocurrencies can be a good strategy for some investors.
“At Token Metrics, we believe pairing a proven asset like bitcoin with a high-conviction growth platform like Solana gives investors a balanced exposure to both stability and upside potential,” Balina said. “We recommend investors use tools like AI to further refine entry points and monitor sentiment shifts to optimize their positions over time.”
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