In today’s “Crypto for Advisors” newsletter, Joshua de Vos, research team leader in Coindesk, cryptodenses and adoption from Coindesk Quarterly Digital Asset Report.
Then Kim Klemballa answers what advisers need to know about crypto “Ask an expert.”
Thanks to our sponsor for this week’s newsletter, Grayscale. For financial advisers near Denver, Grayscale hosts an exclusive event, Crypto Connect, Thursday 23 October. Learn more.
– Sarah Morton
Digital Asset Quarterly Review Q3
Digital assets expanded their recovery in the 3rd quarter when liquidity returned to the global markets. As mentioned in Coindesk’s Digital Assets Quarterly Report, Federal Reserve’s decision to reduce rates to 4.0 percent to 4.25 percent created the most favorable background for risk assets since 2022. Bitcoin ended the quarter up 6.4%. The S&P 500 and Gold released stronger winnings, but the drivers of crypto were different. Demand came primarily from institutions rather than dealers.
ETFs take the lead
ETF streams continued to define the current market structure. US Spot Bitcoin and Ether Products recorded $ 8.78 billion and $ 9.59 billion in net flow. This was the first time that Ether Etfs outdated Bitcoin, reflecting wider institutional diversification. Public companies added 190,000 BTC to their treasuries during the quarter, increasing total stocks to 1.13 million BTC, which is more than 5% of the circulating supply.
Business admission is still the quiet power of this cycle. The “Digital Asset Treasury” model, which originated in Bitcoin, is now spreading over sectors and regions. 42 new public companies revealed possessions in 3rd quarter. For many, digital assets are no longer an experiment, but rather a small, recurring balance in balance.
Wider market rotations
Bitcoin’s dominance fell from 65%to 59%, marking the first sustained rotation to Altcoins since the beginning of 2021. Coindesk 20 index returned 30.8%and surpassed Bitcoin by a wide margin. Coindesk 100 index increased 27.8%, while narrower benchmarks such as Coindesk 5 index increased 15.4%.
The rally was wide, but selectively. Ether At and chainlink Lead Coindesk 20 with winnings of 66.7%, 66.9%and 59.2%respectively. Streaming into Ether-ETFs and the State Trading Portfolios helped push the asset to a new highlight near $ 4,955 in August. Solana rose 34.8%, supported by corporate accumulation and record-app-level revenue.
Treasuries go with multiple assets
Public companies are now reporting exposure to more than 20 digital assets. Ether leads with $ 17.7 billion in value held on balance. Solana comes with $ 3.1 billion. Tron, World Liberty Financial and Ethena exceed every $ 1 billion.
This activity marks the next phase of institutional adoption: diversification within the cryptocurrency itself. Treasury assignments that began with Bitcoin are expanded to other assets. For some companies, the assets act as reserves; For others, they serve as strategic positions tied to ecosystem stage or product launches.
The growth of these vehicles has also revealed a market hierarchy. A handful of companies now dominate trading activity in the “Digital Asset Treasury” segment, while smaller participants face pressure when the NAVS market drives under parity.
Benchmarks and structure
The use of benchmarks has become central to this market change. Coindesk 20 and Coindesk 5 now serve as reference points for ETFs, structured notes and derivatives. Their method, which is based on liquidity, exchange coverage and accessibility, is in line with the standards that institutional investors expect from traditional indices.
SEC’s approval of generic listing standards for Crypto ETPs is likely to speed up this trend. Multi-active and insert-based ETFs are expected to follow, giving allows new tools to control exposure across a wider range of digital assets.
The path in front
Historically, Q4 has been Bitcoin’s strongest quarter, on average 79% since 2013. With monetary policy and adoption of balance, the conditions continue to continue, the conditions favor risk behavior. Still, the composition of this risk is changing continuously.
Crypto is no longer a single active decision. It develops into a structured, multi-coach allocation space supported by business participation and regulated product access. For advisers, the market begins to reflect sustained institutional capital flows, a sign of an asset class that moves steadfastly towards maturity.
– Joshua de Vos, Research Lead, Coindesk
Ask an expert
What are the 3 best advisers should know when it comes to crypto?
- Digital assets do not grow and disappear. Larger banks like Goldman Sachs write articles on why the adoption of digital active accelerates. In a revised forecast, CITI projects that the StableCoin market could reach over $ 4 trillion by 2030. And on September 17, 2025, SEC introduced generic listing standards for crypto -Tfs and opened the gates to a wide range of products. Prior to these expected product launches, US-Listed Crypto-ETFs and ETPs drew $ 4.73 billion in net flow in September, with ADV topped $ 542 billion, with AUM reaching $ 194 billion, according to TrackInight. Education and understanding of digital assets is central as this asset class grows.
- Say that with me, “Bitcoin is only the beginning.” Bitcoin now accounts for about 59% of the total market value and there were times that Bitcoin was less than 40% of the market. An asset should not be a benchmark for the entire asset class. Diversity is the key to potentially controlling volatility and capturing wider possibilities.
- Wide-based benchmarks are found in crypto. Coindesk 20 index captures the performance of the best digital assets, and Coindesk 5 -Index traces the performance of the five largest components of Coindesk 20. Coindesk 5 underlies the first US Multi-Crypto ETP, Grayscale Coindesk Crypto 5 ETF (GDLC). Coindesk index offers hundreds of BMR compatible indices for measurement, investment and trade in the ever-growing crypt universe.
– Kim Klemballa, Head of Marketing, Coindesk -Index and Data
Continue to read
