Coinbase Makes History as First Crypto Company to Join S&P 500
By Leon Okwatch
May 13, 2025 – 5:14 AM UTC
In a landmark moment for the cryptocurrency industry, Coinbase has officially become the first cryptocurrency company to gain inclusion in the prestigious S&P 500 index. The announcement made by S&P Global on May 12 indicates that this significant move will take effect on May 19, 2025. Coinbase will replace Discover Financial Services in the index, following the latter’s acquisition by Capital One.
Coinbase’s Stock Surge
Following the announcement, Coinbase’s stock (traded under the ticker COIN) experienced a remarkable increase, jumping 8.8% in after-hours trading, reflecting investor confidence as the company marks a pivotal moment in its corporate history. As the largest U.S.-based cryptocurrency exchange, Coinbase was founded in 2012 and has been publicly listed on the Nasdaq since 2021. Despite facing a challenging year for cryptocurrency stocks overall, Coinbase reported a net income of $65.6 million for the first quarter of 2025, meeting the profitability requirements necessary for inclusion in the S&P 500. The company also disclosed a robust 24% year-over-year revenue growth, reaching $2.03 billion.
Celebrating a Milestone
Coinbase CEO Brian Armstrong took to social media platform X (formerly Twitter) to celebrate the achievement, proclaiming, "Crypto is here to stay." The company’s official account echoed this sentiment with a post that highlighted the journey of gaining recognition within the financial mainstream: “First they ignore you. Then they laugh at you. Then they fight you. Then they add you to the S&P 500…”
Implications of Inclusion in the S&P 500
The S&P 500 is a key benchmark for U.S. equities, comprising 500 of the largest companies listed on stock exchanges in the United States. Being included in this index is expected to enhance a company’s visibility and attract investment, as index-tracking funds will need to purchase Coinbase shares to reflect its new status.
Coinbase’s addition to the S&P 500 places it alongside industry stalwarts such as Apple and Nvidia, which are part of an index representing a total market capitalization of approximately $49.8 trillion as of March 31. It is anticipated that Coinbase will occupy the lower tier of the index, categorized with companies that hold a weighting of between 0.01% and 0.2%.
A Shift in Digital Asset Recognition
This milestone is viewed as a crucial turning point for digital assets in financial markets. Coinbase joins fellow Bitcoin holders Tesla and Block in the S&P 500, signaling an evolving acceptance of cryptocurrency companies in traditional finance. Notably absent from this mainstream acknowledgment is Strategy, which was disqualified from inclusion after reporting a substantial net loss of $4.2 billion in the first quarter of 2025. As Coinbase embarks on this new chapter, the implications for the cryptocurrency market, investor sentiment, and regulatory considerations are likely to unfold, as digital assets continue to gain traction in the global economy.
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