COIN50 Index Launches, Adds $INJ

Injective has recently announced some great updates and news. Now we can add that Injective also made it to the Coin50 Index.

This is like the S&P 500 but for digital assets. It allows you to track the crypto market’s general trend. Like how the S&P 500 tracks the general stock market performance. So, we take a closer look at the Coin50 Index means for Injective.

What Is the Coin50 Index?

Coinbase recently launched the Coin50 Index in partnership with MarketVector Indexes. It lists the top 50 coins, measured by market cap, on Coinbase. Combined, this top 50 covers around 80% of the total crypto market cap. A broader index is in the making. However, we won’t see that index until the market further matures.

The COIN50 Index released this month by @Coinbase aims to be the S&P 500 index for crypto. $INJ was also just added to this highly selective index enabling institutions and everyday users to seamlessly access INJ through mainstream rails.

What does this mean?

The COIN50 tracks… pic.twitter.com/8JR3pRUoUx

— Injective 🥷 (@injective) November 25, 2024

The index includes various sectors. For example, smart contract platforms and DeFi. These are the two largest asset classes in the index. It was launched on 12th November. However, the base date goes back to 31st December 2020. Since this base date, the return was no less than 356.73%. This outnumbers the S&P 500, which, during the same time frame, had a 52.8% return. That’s despite crypto’s high volatility.

The S&P 500 initially started out as the S&P 90. You can compare the Coin50 Index to the S&P 90. It’s still in its early stages. Coinbase and MarketVector Indexes have created an industry benchmark index.

Currently, the top six of the index account for 90+% of the total index. This makes for a highly concentrated index, with Bitcoin taking over half of the index’s value. Nonetheless, the index has a cap on each component’s weighting, which stands at 50%. Reviews happen every quarter. See the current Coin50 Index, in the picture below, as of today.

Source: MarketVector Indexes

What Does This Mean for Injective?

Being listed in the Coin50 Index has various advantages for Injective. For example, 

• It could increase institutional adaptation.
• An increase in market transparency.
• A potential reduction in price volatility.
• It improves market efficiency.
• Improves access to Injective for investors.

Injective rank in the middle part of this index. This is a good sign and assures Injective’s place in this index for the near future. The picture below shows that Injective was even the best performer, earlier this week.

Source: MarketVector Indexes

Injective already has been building and delivering recently. It made some great announcements during its first-ever Injective Summit in Bangkok . This was part of Devcon 7, only a few weeks ago. Injective saw its largest upgrade in its history. That’s the arrival of a Multi VM, which is currently on a private testnet. Q1 2025 will see a public testnet as well as their mainnet. Recently, we also saw the launch of their iAgent .

The current $INJ price is $28.80. Over the last 30 days, we see a price increase of 52.7%. Its market cap is $2.8 billion. All tokens are in circulation.

Disclaimer

The information discussed by Altcoin Buzz is not financial advice. This is for educational, entertainment and informational purposes only. Any information or strategies are thoughts and opinions relevant to accepted levels of risk tolerance of the writer/reviewers, and their risk tolerance may be different from yours.

We are not responsible for any losses that you may incur as a result of any investments directly or indirectly related to the information provided. Bitcoin and other cryptocurrencies are high-risk investments, so please do your due diligence.

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