Coinbase becomes first crypto firm to join S&P 500
Popular crypto exchange Coinbase has achieved a major milestone in the crypto industry and now Coinbase is going to be part of the S&P 500 Index. This index is a list of the top 500 publicly traded companies in America, which is prepared by a financial intelligence firm called S&P Global. Coinbase will replace Discover Financial Services (DFS) in this list, which is soon being acquired by Capital One Financial Corp.
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Coinbase will become a part of this index from May 19. This move is being considered a major milestone not only for the company but for the entire crypto industry. Coinbase CEO Brian Armstrong called it a historic achievement for the crypto industry and said, “This milestone is a symbol of the faith of all those who saw crypto as the future, be it retail investors or institutional investors, employees or partners. Now it is clear, crypto is here to stay.
After this achievement, Coinbase thanked all the supporters and users on social media platform X. After this news came out, a lot of response has been seen from the Web3 community. Many prominent crypto supporters including Michael Saylor of MicroStrategy also called this occasion special.
There may also be a surge in demand for COIN shares in the market
This achievement of Coinbase is not only a matter of prestige, but its economic impact will also be seen. Since now Coinbase is becoming a part of the S&P 500 and all index-tracking funds will have to include the company's shares (COIN) in their portfolio. This can lead to a tremendous increase in demand for Coinbase shares in the future. Currently, the price of COIN shares on Nasdaq is $207.22 (about ₹ 17,600).
It is worth noting that Coinbase became a public company in April 2021 and since then it has achieved many major achievements. Apart from joining the S&P 500, Coinbase is already collaborating with the US Crypto Task Force to prepare Web3 regulations.
Talking about India, Coinbase will return to India in 2025, for which it has re-completed its registration with the Financial Intelligence Unit of India (FIU-IND) and now it is going to be active again in the Indian market.Other crypto-related companies in the S&P 500
Although Coinbase is the first pure crypto company to make it to the S&P 500, some fintech companies that are related to the crypto sector are already part of this index. The prominent name among them is Jack Dorsey's financial services company Block. But the presence of Coinbase confirms that crypto is now being taken seriously in the mainstream financial world.
This move is going to give a new identity to not only Coinbase but the entire crypto industry and this will also give global investors more confidence in crypto.