- Coinbase will enter the S&P 500 this May, marking a moment for digital currency markets.
- The firm takes over Discover’s position after its merger with Capital One was approved.
- This move puts Coinbase in the spotlight as stock funds begin adding it to their portfolios.
Coinbase Global Inc. (NASDAQ: COIN) has officially become the first and only cryptocurrency-focused company to join the S&P 500 index, with the inclusion set to take effect before the market opens on Monday, May 19, 2025. The company will replace Discover Financial Services (NYSE: DFS), which is being acquired by Capital One Financial (NYSE: COF), following regulatory approval received in April.
A Historic Shift in Market Representation
S&P Dow Jones Indices confirmed the move, stating Coinbase will take Discover’s place in the benchmark index ahead of trading on May 19. This transition follows the expected merger between Discover and Capital One, which has met final regulatory conditions. Coinbase thanked its supporters in a statement on X, saying, “Thank you to everyone who made it possible for a crypto company to join the S&P 500 for the first time in history.”
The addition marks a milestone for digital finance, placing Coinbase among America’s most influential publicly traded companies. According to sources, firms included in the S&P 500 must meet rigorous criteria, primarily listed in the U.S., must be U.S.-based, must have a market cap of over $20.5 billion, at least 50% of shares must be publicly available for trading, and show profitability across the last four quarters. Coinbase meets all these requirements, with a market capitalization exceeding $50 billion and consistent earnings growth.
Every fund following the S&P 500 has to add COIN now to its portfolio, which may drive up the demand and the share price. As a result, the sentiment among investors has lifted, and it is evident from the spike in after-hours trading volumes.
Financial Momentum and Market Performance
Coinbase closed Monday at $207.22, rising from the previous close of $199.32, and reached $229.90 in pre-market gains, reflecting a +$22.68 rise. The day’s range spanned $205.61 to $213.60, while its 52-week range extended from $142.58 to $349.75. Additionally, the company holds a market cap of $52.78 billion, with a daily average volume of 8.45 million shares traded and a current P/E ratio of 38.60.
At Monday’s close, Coinbase stock was up $7.90, or 3.96%, reaching $207.22, with pre-market values soaring to $229.90, marking a 10.94% rise. “Congratulations, Brian Armstrong, on $COIN being added to the S&P 500 Index,” said Strategy Executive Chairman Michael Saylor. “A major milestone for Coinbase and for Bitcoin.”
Related: Coinbase Buys Deribit in $2.9B Deal to Grow Derivatives Arm
A Turning Point for Crypto’s Mainstream Integration
Notably, Coinbase’s stock had dropped nearly 17% in 2025 prior to this development, according to data from Visible Alpha. However, this inclusion may shift market outlooks. Besides elevating Coinbase’s visibility, the move reinforces the broader legitimacy of the cryptocurrency industry.
Will this recognition of Coinbase reshape how institutional investors value and engage with the crypto market? The question now turns to how other crypto firms might follow suit, as Coinbase sets the precedent.
