Shares of Coinbase Global Inc (NASDAQ:COIN) rose nearly 19% on Tuesday after S&P Dow Jones Indices announced the cryptocurrency exchange will join the S&P 500, marking a major milestone for the digital-asset sector.
The move makes it the first crypto-focused company to be added to the benchmark US stock index.
Coinbase will replace Discover Financial Services in the index before trading opens on May 19.
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 like that.
— Coinbase ????️ (@coinbase) May 12, 2025
To qualify, companies must meet strict requirements, including a minimum market value of $20.5 billion and consistent profitability.
Coinbase, which went public via direct listing in 2021, has seen its stock rise about 260% over two years, giving it a market capitalization of roughly $53 billion.
The rally comes despite recent weakness. Shares had fallen nearly 17% this year amid softer earnings and broader market concerns. In the first quarter, revenue rose 24% from a year earlier but dropped 10% from the fourth quarter. Net income fell 94% to $66 million, largely due to marking crypto assets to market.
Earlier in May, Coinbase announced a $2.9 billion deal to acquire Deribit, the top platform for Bitcoin and Ether options, in one of the crypto industry’s largest acquisitions.