The largest US cryptocurrency exchange Coinbase Global Inc. was announced on May 12, 2025, as a new member of the prestigious S&P 500 index, replacing Discover Financial Services. This historic event marks the first time a pure cryptocurrency company has joined the ranks of the 500 most significant American corporations.
Immediate Market Reaction and Key Figures
Coinbase shares surged by a record 24% following the announcement, marking their largest daily gain since November 2024. Founded in 2012 and traded on the Nasdaq since April 2021, the company boasts:
- Market capitalization of approximately $52.78 billion (as of May 13, 2025)
- Daily trading volume around $1.5 billion
- Assets under management valued at $320 billion
- Holdings of 9,267 BTC on its balance sheet (worth approximately $963.8 million at $104,000 per Bitcoin)
- Position among the top 10 publicly traded companies owning Bitcoin
Strict Requirements for Entering the Elite Index
To be included in the S&P 500, Coinbase had to meet demanding criteria including:
- Minimum market capitalization of $18 billion
- Profitability over the last four quarters
- Sufficient percentage of shares in public ownership
In the first quarter of 2025, the company reported a net profit of $0.24 per share with revenue of $2.03 billion, representing a year-over-year increase of 24%.
Expected Market Impact and Analyst Predictions
Inclusion in the S&P 500 index means Coinbase will automatically become part of portfolios of funds tracking this index. According to expert analyses, capital inflows of up to $16 billion can be expected, leading to a significant increase in liquidity and institutional demand. Reputable investment firms like Oppenheimer and Bernstein have set target share prices around $310 with an “outperform” rating. In the first days after official inclusion in the index, a temporary multiple increase in daily trading volume can also be anticipated, as index funds will be forced to purchase Coinbase shares for their portfolios.
Strategic Expansion and Innovation
Coinbase is actively expanding its operations:
- In May 2025, it announced the acquisition of Dubai-based exchange Deribit for $2.9 billion
- In November 2024, it launched the Coinbase 50 (COIN50) index, which tracks the 50 largest cryptocurrencies
- It plans to expand COIN50 to include perpetual futures and other derivative products
Changes in the Regulatory Environment
The regulatory landscape is gradually becoming clearer:
- In February 2025, the US SEC ended its long-standing lawsuit against Coinbase
- Although Gary Gensler remains the SEC Chairman, discussions about regulatory reforms continue
- The new administration is taking a more favorable approach to the digital asset sector
Historical Milestone for the Entire Cryptocurrency Sector
Coinbase’s inclusion in the S&P 500 index is considered a breakthrough moment for the entire digital asset space:
- It strengthens the credibility of the industry
- It allows a broader spectrum of investors to engage in the cryptocurrency market
- According to CEO Brian Armstrong, it signals that “cryptocurrencies are here to stay”
At a time when Bitcoin has surpassed $100,000, Coinbase’s entry into the S&P 500 represents a cultural and economic turning point. The combination of strategic acquisitions, growing institutional support, and an improving regulatory environment positions Coinbase to shape the future of digital finance and confirms that cryptocurrencies are becoming an integral part of the global financial system.
