Coinbase joins S&P 500 just days after Bitcoin tops $100K, marking another milestone for the crypto exchange on Wall Street.
Coinbase Replaces Discover in Major Index Shakeup
The crypto exchange will replace Discover Financial Services in the S&P500, effective before trading begins on May 19, 2025. Discover is currently being acquired by Capital One, which opened the slot for Coinbase.
This inclusion triggered a spike in coin stock, which jumped more than 8% in extended premarket trading following the announcement.
Why This Move Matters
Stocks added to the S&P 500 often rally as index-tracking funds are required to add them to their portfolios.The change indicates that Coinbase is now a significant force in traditional finance rather than a fringe cryptocurrency firm.
The company’s inclusion also illustrates how cryptocurrency is becoming more and more significant in the mainstream financial markets, especially as news about Bitcoin’s recent spike continues to get attention.
Coinbase’s Financial Standing
To join the S&P 500, companies must be profitable in the most recent quarter and over the last four quarters combined. Coinbase reported $65.6 million in net income last week, meeting that criteria. It also reported a 24% revenue increase, reaching $2.03 billion.
Still, Coinbase stock remains volatile. It closed Monday at $207.22 — far from its all-time high above $357 but enough to give the company a market cap of $53 billion.
The International Development of Coinbase
Recently, Coinbase announced that it will spend $2.9 billion to acquire Deribit, a Dubai-based bitcoin derivatives exchange. The largest M&A deal in the industry’s history is this one. This move strengthens Coinbase’s worldwide presence in the face of increased regulatory scrutiny in the US.
Bitcoin Breaks Previous Records
Coinbase’s S&P 500 report was issued shortly after Bitcoin crossed the $100,000 mark and approached its prior peak in January 2025. Despite recent drops, Bitcoin is up 10% so far this year, surpassing Coinbase, which is down 17%.
Source: CNBC
