Coinbase Launches COIN50 Index Tracking Major Assets BTC, ETH, SOL, XRP and DOGE

Key takeaways

COIN50 tracks the top 50 digital assets and offers a diversified, market cap-weighted benchmark for cryptocurrency investing.
Starting today, eligible traders can trade the COIN50 Index through COIN50-PERP on Coinbase International Exchange and Coinbase Advanced.

Coinbase has launched the Coinbase 50 Index (COIN50), a benchmark designed to track the performance of the top 50 digital assets listed on its exchange, with bitcoin and ethereum accounting for a substantial portion.

According to the index, bitcoin has the highest weight with 50.3%, while ethereum represents 27.5%.

Other assets, such as Solana (6.4%), XRP (3.1%), and Dogecoin (1.5%), also contribute, with the remaining 45 assets collectively representing 11.2%.

Developed with Coinbase Asset Management and Market Vector Indexes, COIN50 covers approximately 80% of the cryptocurrency market, excluding stablecoins.

The index is rebalanced quarterly and includes assets that meet Coinbase's legal, compliance, and security standards.

Coinbase is also introducing a COIN50 perpetual futures contract (COIN50-PERP) on its International Exchange for institutional traders and eligible retail users.

“We are exploring additional ways for users to gain exposure to the Index,” a Coinbase spokesperson explained. “As the cryptocurrency market matures, we aim to significantly expand the index to match its growing size and diversity.”

One of the main challenges of investing in cryptocurrencies is managing the inherent volatility and risk. The COIN50 index addresses this by updating its weighting quarterly.

“Cryptocurrency markets are constantly evolving and fluctuating. By updating the index weighting quarterly, we ensure an accurate representation of the market so traders can properly compare performance,” added a Coinbase spokesperson.

The COIN50 selection process involves fundamental criteria including token economics, blockchain architecture, and security. The index is based on a three-year history of Coinbase indices managed by Coinbase Asset Management.