Coinbase launches Coin50 index as crypto version of S&P 500

Crypto Exchanges Forum Coinbase
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This is really tempting for the next 6 to 9 months

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Cal said:
This is really tempting for the next 6 to 9 months

It’s a smart way to get into altcoins. If one altcoin falls, it can be replaced by another one on the rise.

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Wynter said:

Cal said:
This is really tempting for the next 6 to 9 months

It’s a smart way to get into altcoins. If one altcoin falls, it can be replaced by another one on the rise.

The issue is that in the S&P, companies that drop from the top 500 usually still hold some value. Altcoins that fail typically drop to zero, which is not ideal with quarterly rebalancing.

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@Keagan
Not zero. Most alts drop about 95% in a few months.

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Finnick said:
@Keagan
Not zero. Most alts drop about 95% in a few months.

This could make it worse if adopted. Many of these coins have low trading volume, so big funds selling off could hurt them hard.

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@BlockBuilderBea
Good point

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Finnick said:
@BlockBuilderBea
Good point

It would be hard for the fund to succeed if it keeps losing volume or gets stuck with dead coins. There’s not enough liquidity in the mid-range.

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@BlockBuilderBea
Doesn’t matter. We can’t trade it anyway.

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Finnick said:
@BlockBuilderBea
Doesn’t matter. We can’t trade it anyway.

So you just buy it and check it on your phone?

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DemiSutra said:

Finnick said:
@BlockBuilderBea
Doesn’t matter. We can’t trade it anyway.

So you just buy it and check it on your phone?

Isn’t this just a fancy tracker for market cap?

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Finnick said:
@BlockBuilderBea
Doesn’t matter. We can’t trade it anyway.

The fund will still have to sell the coins at a loss whether it’s for a fair price or a total loss.

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BlockBuilderBea said:

Finnick said:
@BlockBuilderBea
Doesn’t matter. We can’t trade it anyway.

The fund will still have to sell the coins at a loss whether it’s for a fair price or a total loss.

This is an index, not a fund.

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@CryptoCrafter
This comment is empty, admin should fix

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@Keagan
What if Coinbase launched something tied to an S&P 500 index?

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Jude said:
@Keagan
[deleted]

You greatly underestimate how many bad coins are in the top 50.

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Jude said:
@Keagan
[deleted]

So many top 50 coins have fallen like that. SOL was $8 in 2022, DOT was $55 and now it’s $5.

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Cal said:
This is really tempting for the next 6 to 9 months

6-9 months

Nice

gif

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NickelNegotiator3 said:

Cal said:
This is really tempting for the next 6 to 9 months

6-9 months

Nice

gif

You’re a bad person. That song will be stuck in my head tonight.

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Cal said:
This is really tempting for the next 6 to 9 months

There are many reasons to invest in this right now.