S&P to Launch Hybrid Index Combining Cryptos and Crypto-Linked Stocks
S&P Dow Jones Indices, a division of S&P Global, is set to introduce a new hybrid index combining traditional equities with digital assets. This aims to provide investors a novel way to explore the evolving crypto sector.
- The S&P Digital Markets 50 Index will include 35 publicly traded companies in crypto infrastructure and blockchain, alongside 15 cryptocurrencies from S&P’s Broad Digital Market Index, creating a cross-asset benchmark.
- Dinari collaborates on the index design and introduces a token, “dShare,” for direct on-chain index tracking. The token ensures transparency across blockchain platforms.
- This initiative aligns with a trend where institutional investors increasingly incorporate digital assets into core portfolios globally.
- The index targets investors seeking crypto exposure without fully committing to volatile tokens.
- Crypto stocks gain popularity as regulatory clarity improves and more digital asset companies go public. For instance, Coinbase has surged by 50% year-to-date, while Robinhood saw a 250% rise since January after expanding its crypto offerings.
- Dinari's tokenization approach modernizes index investing, showcasing blockchain's potential to enhance trusted benchmarks.
- The Digital Markets 50 adds to S&P's crypto-related indices, indicating a merging of digital and traditional finance sectors.
The launch date remains unannounced.