Coinbase Creates Milestone as Initial Digital currency Company in S&P 500
Crypto has achieved a significant triumph in the realm of traditional finance. Coinbase, the largest crypto asset trading protocol based in the U.S., is set to join the S&P 500 on May 19. This positions Coinbase as the inaugural crypto-native company included in one of Wall Street’s hallmark indexes, marking a substantial event. With Coinbase’s inclusion in the S&P 500, traditional investors will gain broader exposure to digital assets.
This isn’t merely a milestone for the company. It clearly indicates that the financial industry is starting to regard crypto with seriousness.
DISCOVER: Top 20 Crypto to Buy in May 2025
Trading market Reaction
Investors quickly responded. Coinbase’s stock increased by 4 percent during the regular trading hours, adding another 9 percent in after-hours trading. The stock ultimately closed at $207.22. Traders appear bullish about the prospect of crypto asset further integrating into the financial mainstream, backing it with their investments.
As the saying goes…
“First they ignore you.
Then they laugh at you.
Then they fight you.
Then they add you to the S&P 500.”…or something along those lines.
— Coinbase
(@coinbase) May 12, 2025
Being part of the S&P 500 holds significant weight. This index is followed by trillions in institutional investments—consider pension funds, retirement plans, and large asset managers. Once a company is included, it typically triggers a surge of purchases from funds that must align with the index.
Why It Matters
The S&P 500 is widely regarded as a representation of the U.S. economy, encompassing 500 of the largest public companies from various sectors. When a company is accepted into the index, it is often seen as a transition to the elite corporate landscape.
DISCOVER: Best New Cryptocurrencies to Invest in 2025
For Coinbase, this signifies more than mere prestige. It grants credibility, visibility, and access to a larger array of investors—an impressive feat for a company that originated in a San Francisco apartment just over a decade ago.
Coinbase’s Backstory
Founded by Brian Armstrong and Fred Ehrsam in 2012, Coinbase quickly rose by simplifying the process of buying, selling, and holding cryptocurrencies for regular users. It garnered attention in 2021 with its public debut through a direct listing on the Nasdaq.
Since its inception, it has navigated everything from extreme crypto market fluctuations to rigorous regulatory challenges. Nevertheless, it has expanded into a global protocol with over 100 million users in more than 100 countries.
Bigger Moves Ahead
The timing of Coinbase’s addition to the S&P 500 is noteworthy. Merely days before, the company announced a $2.9 billion deal to purchase Deribit, a Dubai-based crypto derivatives network. This expansion establishes Coinbase’s presence in options and futures—an arena that attracts considerable interest from institutional traders.
Thus, with this acquisition alongside its new position in the S&P 500, Coinbase is poised to emerge as a key player in both the crypto and traditional finance arenas.
Coinbase Joining S&P 500: Looking Ahead
Coinbase’s entrance into the S&P 500 represents not only a corporate achievement but also a cultural milestone. It illustrates that crypto is no longer sidelined in the financial landscape. The industry still confronts numerous obstacles, particularly regarding regulations, yet this moment signifies another significant stride toward acceptance.
Whether you’re a devoted crypto enthusiast or simply observing from the periphery, it is evident that the divide between Wall Street and digital currency has significantly diminished.
DISCOVER: 20+ Next Crypto to Explode in 2025
Join The 99Bitcoins Update Discord for the Latest Crypto market Insights
Key Takeaways
- Coinbase will officially join the S&P 500 on May 19, making it the first crypto-native company to enter the legendary stock index.
- The announcement pushed Coinbase stock up 4% during the trading day and another 9% in after-hours trades, closing at $207.22.
- Joining the S&P 500 enhances Coinbase’s credibility, providing access to institutional investors managing trillions of dollars.
- Established in 2012, Coinbase has transformed from a small startup into a global crypto protocol catering to over 100 million users in more than 100 countries.
- This milestone follows Coinbase’s recent $2.9 billion acquisition of Deribit, furthering its entry into the crypto derivatives trading market.
The post Coinbase Makes History as First Crypto Firm in S&P 500 appeared first on 99Bitcoins.
