Coinbase, the leading US-based cryptocurrency exchange, has added Dogecoin, XRP, Shiba Inu and 47 other crypto assets to its new Coinbase 50 index fund.
Coinbase has launched a crypto investment tool that tracks the performance of the top fifty crypto assets by market capitalization, excluding stablecoin. In a Tuesday releaseThe exchange noted that the index fund would provide alternative ways to gain exposure to a wide range of digital assets through a single fund.
The largest US exchange launched the fund in collaboration with index development company MarketVector. The symbiotic partnership will leverage Coinbase’s strong market presence and MarketVector’s index experience to drive adoption of the new crypto fund.
Coinbase launches its own index fund
Called Coinbase 50 or COIN50, the index fund references assets such as Bitcoin, Ethereum, Solana, XRPDogecoin and Shiba Inu. Notably, each of the cryptocurrencies weighs the fund differently, since Coinbase has proportioned the assets based on their market capitalization.
As a reminder, Bitcoin weighs 51.70%, Ethereum 25.99% and Solana 6.5%. Other notable assets like DogecoinXRP and Shiba Inu represent 3.60%, 2.52% and 1.00% of the index fund, respectively.
Notably, Coinbase will update the weighting of crypto assets in the fund based on their performance. The exchange will also review assets referenced by the fund as they move up the cryptocurrency market cap rankings.
Meanwhile, Coinabse product manager Greg Tusar noted that in addition to generating revenue, the exchange intends to make COIN50 trading a “media game.” He highlighted that Coinbase aims to achieve crypto branding through the index fund.
According to him, Coinbase wants the fund to reflect the performance of the crypto market, actively representing the sector. The Coinbase executive suggested that COIN50 would be to the cryptocurrency what Polymarket’s chances were to market observers during the period. American presidential election.
Restricted participation
In the meantime, only users outside the US, UK and Canada can access the COIN50 index fund. This is due to regulatory restrictions on crypto-related products in these countries.
Additionally, institutional traders can access COIN50 through the Coinbase International exchange, while retailers can trade the fund on Coinbase Advanced. The Coinbase 50 index fund also offers up to 20x leverage through its perpetual futures contract.
Meanwhile, the launch came a few months after Coinbase launched Bitcoin on the Basne network. In September, the exchange announcement the launch of Coinbase Wrapped Bitcoin (cBTC), an ERC token worth 1 BTC.
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