Coinbase adds Dogecoin, XRP and Shiba Inu to its newly launched COIN50 index fund

Leading US crypto exchange Coinbase has added Dogecoin, XRP, Shiba Inu and 47 other crypto assets to its new Coinbase 50 index fund.

Coinbase has launched a crypto investing tool that tracks the performance of the top fifty crypto assets by market capitalization, excluding stablecoins. On a Tuesday releaseThe exchange noted that the index fund would provide an alternative way to leverage a wide range of digital assets through one fund.

The largest US stock exchange launched the fund in collaboration with the index development company MarketVector. The symbiotic partnership will leverage Coinbase’s strong market presence and MarketVector’s index experience to promote the launch of the newly launched crypto fund.

Coinbase launches its own index fund

Dubbed Coinbase 50 or COIN50, the index fund compares assets such as Bitcoin, Ethereum, Solana, XRPDogecoin and Shiba Inu. What’s worth noting is that each of the cryptocurrencies has a different impact on the fund because Coinbase has divided the assets based on their market capitalization.

For comparison, Bitcoin weighs 51.70%, Ethereum 25.99%, and Solana 6.5%. Other notable assets like DogecoinXRP and Shiba Inu account for 3.60%, 2.52% and 1.00% of the index fund, respectively.

Notably, Coinbase will update the weighting of crypto assets in the fund depending on their performance. The exchange will also review the assets benchmarked by the fund as they move up the cryptocurrency market capitalization rankings.

Meanwhile, Greg Tusar, head of product at Coinabse, noted that in addition to generating revenue, the exchange also aims to make COIN50 trading a “media play.” He emphasized that Coinbase is aiming for crypto branding through the index fund.

According to him, Coinbase wants the fund to reflect the performance of the crypto market and actively represent the sector. The Coinbase executive hinted that COIN50 would be to the cryptocurrency what the Polymarket odds were to market watchers during the year US presidential election.

Limited participation

Meanwhile, only users outside the US, UK and Canada can access the COIN50 index fund. This is due to the regulatory restrictions on crypto-related products in these countries.

Additionally, institutional traders can access COIN50 through the Coinbase International exchange, while retail traders can trade the fund through Coinbase Advanced. The Coinbase 50 index fund also offers up to 20x leverage through its perpetual futures contract.

Meanwhile, the launch comes a few months after Coinbase debuted as a wrapper Bitcoin on the Basne network. The exchange will take place in September announced the launch of Coinbase Wrapped Bitcoin (cBTC), an ERC token worth 1 BTC.