Coinbase Global Inc. is set to make history as the first-ever cryptocurrency company to join the S&P 500, sending Coinbase shares surging in after-hours trading. The San Francisco-based crypto exchange will officially replace Discover Financial Services in the benchmark index on May 19, according to a recent announcement.
The company celebrated the milestone on X (formerly Twitter), writing:
“Thank you to everyone who made it possible for a crypto company to join the S&P 500 for the first time in history.”
Coinbase Shares Surge on Historic News
Following the announcement, Coinbase shares surged by 11% in after-hours trading on May 12, climbing to just below $230, based on Google Finance data. This positive movement comes despite the stock’s broader struggles in 2025—down 41% year-to-date amid market volatility driven by new U.S. trade tariffs under the Trump administration.
What the S&P 500 Inclusion Means
Inclusion in the S&P 500 opens Coinbase up to a broader investor base, including passive index funds and institutional investors restricted to benchmark-tracked assets. This increased exposure could significantly impact the company’s long-term valuation and liquidity.
Coinbase’s path to inclusion required it to meet several criteria, including profitability. The firm reported a $65.6 million net income for the last quarter—albeit down from $1.18 billion a year earlier—making it eligible for the index.
Despite a disappointing Q1, which saw reduced crypto prices and macroeconomic uncertainty, Coinbase still delivered 24% year-over-year revenue growth, reaching $2.03 billion.
CEO Brian Armstrong on the Milestone
Coinbase CEO Brian Armstrong celebrated the achievement, stating:
“This milestone represents what the true believers, from retail investors to institutional investors to our employees and partners, knew all along. Crypto is here to stay.”
Armstrong added that this move brings crypto even closer to the mainstream:
“Crypto is about to be in everyone’s 401(k)… My goal is that in 5 to 10 years, getting into the COIN50 index will feel as good as this.”
Strategic Moves and Market Impact
Earlier this month, Coinbase announced plans to acquire Dubai-based Deribit, a leading crypto derivatives exchange, for $2.9 billion—marking the largest deal in the industry’s history.
While the broader market has faced headwinds, with the S&P 500 down 37% in 2025 despite a recent 3.2% rebound, Coinbase’s upcoming inclusion may signal a turning point for both the company and the crypto sector.
