Crypto Asset Manager Grayscale Adds Avalanche and Morpho to Top 20 List for Q3 2025
Grayscale, a leading crypto asset manager, has made updates to its Top 20 list for the third quarter, welcoming Avalanche (AVAX) and Morpho (MORPHO) as new additions. These assets have been identified by Grayscale as having strong potential for growth in the coming months.
Updates to the Top 20 List
On June 26, Grayscale announced the changes to its Top 20 asset list in the Q3 2025 Crypto Sectors report. The inclusion of Avalanche and Morpho marks the only changes to the list, highlighting the significance of these assets in the current market landscape.
Avalanche and Morpho: Promising Assets
The decision to add Avalanche to the Top 20 list was influenced by the recent surge in transaction volume and user activity on the platform. This growth is attributed to new gaming integrations, such as the onboarding of video game MapleStory, and increased stablecoin usage, indicating organic ecosystem expansion.
Meanwhile, Morpho has been recognized for its rapid growth as a decentralized lending protocol, now ranking as the second-largest by Total Value Locked with over $4 billion in assets and a growing fee revenue. The launch of Morpho V2, aimed at bridging DeFi with traditional financial institutions, further solidifies its position in the market.
Grayscale believes that assets focused on on-chain lending, including Morpho, Aave, and Maple Finance, are well-positioned to capitalize on the growth of the sector in the future.
Changes to Make Room
In order to accommodate AVAX and MORPHO in the Top 20 list, Lido and Optimism were removed. Regulatory uncertainty surrounding staking and challenges in capturing economic value led to the exclusion of these assets, despite their core roles in the staking and Layer 2 scaling sectors.
Broader Sector Trends
The Q3 2025 report also highlighted broader trends in the crypto sector, with Bitcoin leading gains in the Currencies segment. Smart Contract Platforms saw an increase in transaction volume, although fee revenues declined as memecoin activity cooled off. Grayscale emphasized the growing interest in decentralized AI, DeFi lending, and smart contract platforms amidst macroeconomic and regulatory uncertainties.
Additionally, Grayscale launched its AI Crypto Sector, tracking 24 AI-related tokens worth $15 billion, with Bittensor (TAO) leading the pack.