The instance swap menu in right-hand panel has seen multiple iterations over time and it’s quite good nowadays! The small thumbnails are very useful, especially when working with icons. But the menu could be still better
How about dropping menu levels having only one option? For example, we have multiple icon components named as Icon/ArrowLeft, Icon/ArrowRight etc. These are then organized into frames, e.g. Arrows. This leads the middle swap menu having only one option “Icon” in it. That’s very much not useful step, as why needing to select something where there’s only one thing that can be selected? In Assets panel this issue is already handled by combining the single options with the parent item - how about unifying and expanding the practice also into the swap menu?
Swap menu has a lonely option:
Assets panel combines lonely options to parent option: