- Grayscale adds Avalanche and Morpho, drops Lido and Optimism from the Q3 2025 list.
- XRP and ADA were excluded again, raising questions amid Grayscale’s shift toward Web3 infrastructure.
Grayscale’s newly released Q3 2025 “Top 20” altcoin list reveals subtle yet noticeable changes in the crypto investment landscape.
While much of the list holds steady from the previous quarter, the inclusion of Avalanche [AVAX] and Morpho, and the removal of Lido DAO [LDO] and Optimism [OP], signals a strategic reshuffle.
Grayscale cited individual project performance and sector-specific trends as key factors behind the updates, especially in the realm of smart contract platforms.
Grayscale’s Q3 2025 “Top 20” altcoin list
Yet, what continues to raise eyebrows is the persistent exclusion of prominent tokens like Ripple [XRP] and Cardano [ADA], despite their active developments.
It prompted deeper questions about the metrics and market narratives shaping institutional preferences.
While Lido remains dominant in liquid staking and Optimism’s technology powers several Layer 2 networks, short-term uncertainties led to their exclusion.
For Lido, potential U.S. regulatory changes could open the door to centralized staking competition, impacting fees.
As for Optimism, despite its wide adoption, the OP token itself hasn’t seen significant revenue growth.
Grayscale flagged ambiguity around its long-term “superchain” vision, especially given Ethereum’s evolving plans around rollup interoperability.
Why is Avalanche and Morpho?
That being said, Grayscale’s inclusion of AVAX and MORPHO in its Q3 2025 Top 20 list reflects a focus on real-world adoption and ecosystem momentum.
Avalanche, one of the top smart contract platforms by market cap, has recently experienced a notable uptick in network activity, likely fueled by increased gaming and stablecoin usage, such as the integration of MapleStory.
This kind of organic growth indicates strengthening utility for AVAX beyond just hype.
Meanwhile, Morpho has emerged as a serious contender in the DeFi lending space, boasting over $4 billion in Total Value Locked and significant fee generation.
With its latest upgrade, Morpho V2, aiming to connect traditional finance with on-chain lending, Grayscale sees potential for the protocol to carve out a larger role in DeFi’s evolution.
The exclusion of prominent altcoins like XRP and ADA from Grayscale’s updated Top 20 list appeared to weigh on investor sentiment, with both tokens seeing declines.
ADA dropped by 0.83% to $0.5511, while XRP fell by nearly 2.9% to $2.08 within 24 hours.
Grayscale’s achievement
The timing of these price dips coincided with Grayscale’s announcement of a new investment vehicle, i.e., the Grayscale Space and Time Trust.
This initiative centers around the Space and Time blockchain, which is designed to support verifiable, real-time data processing for smart contracts, AI, and dApps.
Therefore, while certain legacy assets are being sidelined, Grayscale’s evolving strategy suggests a pivot toward innovative platforms designed to meet the growing computational demands of the decentralized future.
