XRP News Today: Grayscale Excludes XRP, Cardano from Top 20 Crypto List Despite Recent Gains

Grayscale Investments has updated its Top 20 crypto list for the third quarter, maintaining its exclusion of prominent altcoins XRP and Cardano (ADA). This decision comes despite recent positive developments, such as the U.S. Securities and Exchange Commission's (SEC) decision to drop its lawsuit against Ripple, the company behind XRP. The list is compiled using a proprietary taxonomy and a family of indexes called Crypto Sectors, developed in partnership with FTSE/Russell. The criteria for inclusion consider factors such as network growth, upcoming catalysts, sustainability of fundamentals, token valuation, token supply inflation, and potential tail risks.

Grayscale's latest update includes the addition of Avalanche (AVAX) and Morpho (MORPHO) to the list, while removing Lido DAO (LDO) and Optimism (OP). The inclusion of AVAX and MORPHO is attributed to their growing fundamentals, whereas LDO and OP were excluded due to a lack of near-term momentum and token value capture. This shift suggests a focus on adoption metrics over long-term alignment. The exclusion of XRP and ADA, along with LDO and OP, is notable given their significant growth potential amidst recent developments. The SEC's agreement that certain staking activities are not securities transactions has led many issuers to include in-kind redemptions and staking in their Solana ETF applications to the SEC. XRP, Solana, and Cardano have received at least 90% approval odds from analysts. Grayscale has also filed to convert XRP and Cardano trusts to ETFs, indicating a higher chance of approval by the new SEC in the Trump administration.

The exclusion of XRP and ADA from Grayscale's top 20 list is significant, given their historical performance and market presence. XRP, developed by Ripple Labs, has been a key player in the cross-border payment sector, while Cardano, known for its focus on sustainability and scalability, has garnered a dedicated following. The decision by Grayscale to omit these cryptocurrencies could be influenced by various factors, including regulatory concerns, technological advancements, or changes in market dynamics. The list is a closely watched index in the crypto world, reflecting the investment preferences of a major player in the digital asset management space. The exclusion of XRP and ADA indicates that these cryptocurrencies may not meet the current standards set by Grayscale for inclusion in its top 20 list.

The omission of XRP and ADA from Grayscale's list does not necessarily imply a negative outlook on these cryptocurrencies. Instead, it highlights the evolving nature of the digital asset market and the need for continuous evaluation of investment opportunities. Investors and analysts will be closely monitoring the performance of XRP and ADA in the coming quarters to assess whether their exclusion from Grayscale's list is a temporary setback or a more permanent shift in their market standing. The absence of these two prominent cryptocurrencies from Grayscale's Q3 top 20 crypto list underscores the dynamic and competitive nature of the digital asset market. As the industry continues to evolve, investors and stakeholders will need to stay informed about the latest developments and trends to make informed decisions. The exclusion of these two prominent cryptocurrencies serves as a reminder of the importance of adaptability and strategic evaluation in the ever-changing landscape of digital assets.