Bybit, the world’s second-largest cryptocurrency exchange by trading volume, has released its Q3 2025 Asset Allocation Report, showing a sharp decline in stablecoin holdings as investors reallocate funds to Solana (SOL), XRP and other altcoins. While Bitcoin and Ether continue to dominate portfolios, institutions are leading a shift away from stablecoins toward higher-yield digital assets.
Key highlights:
- Investors still hold $1 in Bitcoin for every $3 overall; Ether holdings rose 20% since the last report; XRP is now the third-largest non-stablecoin crypto asset.
- BTC and ETH concentration has trimmed from 58.8% of non-stablecoin tokens in May 2025 to 55.7% in August 2025, propelled mainly by higher allocation to altcoins
- Stablecoins were significantly reallocated to SOL, XRP and other altcoins in Q3 2025.
- Solana holdings reached their highest level this year as investors anticipate treasury strategies applied to BTC and ETH will extend to SOL.
- Decentralized exchange tokens were the largest beneficiaries of falling stablecoin levels, followed by Layer 1, Layer 2 and real-world asset tokens. Meme tokens barely moved, while gold tokens remain a minority.
The Q3 2025 report underscores investors’ growing appetite for altcoins as stablecoin reserves are redeployed into higher-growth assets. Institutions, in particular, cut cash holdings significantly to capitalize on market momentum, while Bitcoin and Ether remain portfolio anchors. The rise of SOL, XRP and DEX tokens highlights broader diversification strategies across the digital asset market.
Download the report here: https://learn.bybit.com/en/crypto-insight/stablecoin-holding-percentage-falls-as-investors-allocate-them-to-sol
