2024-11-13
On November 12, 2024, Coinbase has
launched the Coinbase 50 Index (COIN50), is a cryptocurrency market index
tracking the performance of the top 50 digital assets listed on its exchange.
The index is market-cap weighted and
covers approximately 80% of the crypto market. Bitcoin and Ethereum are the
most heavily weighted assets, making up 50% and 28% of the index, respectively.
Eligible traders can trade the COIN50
Index via a COIN50 perpetual futures contract (COIN50-PERP) with up to 20x
leverage on Coinbase International Exchange and Coinbase Advanced. This new
tool aims to provide investors with a comprehensive benchmark for the broader
crypto market.
Coinbase, the world’s largest publicly
listed cryptocurrency exchange, has launched the Coinbase 50 Index (COIN50), a
benchmark tracking the top 50 digital assets listed on its platform.
This development aims to provide
investors with a transparent and reliable means of gauging the performance of
the broader cryptoeconomy.
A Global Crypto Market Indicator
The Coinbase 50 Index, created in collaboration with Coinbase Asset Management and Market Vector Indexes, represents a market cap-weighted index of the 50 largest digital assets that meet strict fundamental criteria.
Rebalanced quarterly, the index incorporates
factors such as token economics, blockchain architecture, and security
standards.
"With the rapid growth of the
cryptoeconomy, the need for efficient tools to gain diversified exposure to
this asset class is more pressing than ever," Coinbase said in a
statement.
The COIN50 Index covers approximately
80% of the total cryptocurrency market cap, with plans for further expansion as
the market matures.
A Tradable Future with Leverage
Starting today, eligible traders
outside the U.S., U.K., and Canada can access the COIN50 via a perpetual
futures contract (COIN50-PERP) on Coinbase International Exchange and Coinbase
Advanced.
The product offers leverage of up to
20x for institutional and retail users in eligible jurisdictions.
Investors can trade index-based crypto
products for the first time through Coinbase. The company emphasized its goal
of increasing accessibility and aligning its indices with the evolving size and
diversity of the cryptocurrency market.
Setting New Standards for Crypto
Benchmarks
Building on three years of experience with Core Coinbase Indices, the COIN50 leverages Coinbase’s rigorous vetting process, which ensures compliance with legal, technical, and security standards.
The new benchmark aims to provide price discovery and a
comprehensive market overview for traders, institutions, and retail investors.
