Coinbase Global (COIN) is all set to make history by becoming the first cryptocurrency firm to join the prestigious Standard and Poor’s 500 (S&P 500) on May 19. The move comes as the company takes the place of Discover Financial Services (DFS), which was recently acquired by Capital One Financial Corp (COF), according to a statement by S&P Global on May 12. The S&P 500 is a renowned stock market index that monitors the performance of 500 of the largest publicly traded companies in the US, offering a comprehensive gauge of the US stock market. Coinbase’s inclusion in the S&P 500 is expected to drive up demand for its shares as index funds and exchange-traded funds mirroring the S&P 500 will have to acquire COIN shares. The S&P 500 boasted an aggregate market cap of $49.8 trillion as of March 31, with a market-cap-weighted structure that assigns more weight to larger firms like Microsoft, Apple, and Nvidia. Companies placed in the bottom 400, where Coinbase is likely to be positioned, typically hold a weight between 0.01% and 0.2% of the overall index. Following the announcement, COIN shares surged by 8.8% to $225.4 in after-hours trading, as per Google Finance data. The company concluded the March 12 trading day with a 4% increase, pushing its market cap to $52.8 billion. Coinbase’s Chief Financial Officer, Alesia Haas, described the inclusion as a significant milestone for the company and the wider cryptocurrency industry, emphasizing the signal it sends about the future direction of the world. Additionally, Coinbase joins Tesla (TSLA) and Block Inc. (SQ) as major corporate Bitcoin holders currently featured in the index fund. The cryptocurrency exchange’s inclusion further underscores the stringent criteria for S&P 500 membership, with eligible firms required to have been profitable in the last calendar year and the latest quarter. Notably, Strategy (MSTR) was also a contender for S&P 500 listing last year but posted a net loss of $4.2 billion in the first quarter of 2025, indicating its exclusion. In order to be considered for the S&P 500, companies must trade on a major US stock exchange, generate at least half of their revenues in the US, and maintain a market cap above $18 billion. Coinbase meets these criteria, solidifying its position as a trailblazer in the evolving landscape of cryptocurrency and traditional finance.