On March 6th, Coinbase officially announced the Coinbase Index Fund, which many are referring to as the “Dow Jones of cryptocurrencies”.

Coinbase is launching a weighted index fund solely for cryptocurrency for all US accredited investors. Just as the Dow Jones Industrial Average is used to determine the health of the US economy, the Coinbase Index Fund will reflect the current trends in the cryptocurrency market. The Dow Jones Industrial Average is a basket of 30 stocks meant to give investors a sense of the state of the US economy.

The Coinbase Index Fund will provide accredited U.S. investors with exposure to all assets listed on the company’s current exchange, GDAX. The currencies will be weighted based on market capitalization. That means there is a minimum investment of $10,000 to participate.

The breakdown of the fund is as follows: 62% bitcoin, 27% ethereum, 7% bitcoin cash, and 4% litecoin. Investors can start signing up for the product, but it won’t be live for a couple of months, according to a spokesperson for Coinbase.

On a related note, the cryptocurrency Ripple (XRP) is rumored to be the next cryptocurrency added to Coinbase, causing trade volumes to soar. In the last 24 hour there has been $873 million in trade volume. Coinbase addressed this rumor headon, saying that they have not made any decisions for adding new coins.

The lineup for Tuesday’s special edition of CNBC Fast Money featuring the President & COO of Coinbase and the CEO of Ripple.

Speculation from the Fast Money segment drove the price of Ripple (XRP) to $1.07, which is around a 6% increase over their weekly average.

Furthering the rumor, CNBC’s show Fast Money has two interesting guests back-to-back: Asiff Hirji (President & COO of Coinbase) and Brad Garlinghouse (CEO of Ripple) are both to be on the show… making many try to read between the lines and buy Ripple ahead of a massive surge in value. Ripple is the only coin in the top five by market cap that isn’t already offered on Coinbase’s platform.

The largest cryptocurrency exchange, Coinbase, has been cautious when adding new currencies to the exchange, and is working to avoid any “rubbish out there”, Hirji said while on CNBC Fast Money. Whenever a new coin is listed on Coinbase, it will also be automatically added to the Coinbase Index Fund.

Hirji pointed to Coinbases’s broader approach, which he said is more tailored to individual investors.

“I think the investors are not going to want to pick specific winners or losers,” Hirji said.

“There has been a lot of discomfort from the SEC around a lot of these ICO-based tokens,” Hirji said. “We’re not going to be the ones operating in the black.”

Coinbase currently allows Bitcoin, Bitcoin Cash, Ethereum, and Ripple to be purchased and traded through their GDAX platform.

Coinbase released the following tweet to address the topic of Ripple and new coins being added to their platform:

The Coinbase Index Fund will be available only to US-based accredited investors initially. This comes as part of Coinbase’s efforts to onboard additional cryptocurrencies to allow for further diversification.

[H/T CNBC]

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