Cryptocurrency exchange Coinbase announced on Tuesday the launch of its index fund, marking the company’s foray into asset management.
Coinbase has formed a subsidiary called Coinbase Asset Management to oversee the new Coinbase Index Fund, product lead Reuben Bramanathan said. Whenever a new asset is listed, it will be automatically added to the fund.
We’re seeing strong demand from our customers and the market generally for a passive investment management product.
Product lead, Coinbase
He said the investment product has long been in the company’s roadmap, “but we’re finally seeing demand so that’s why we’re just launching now.”
For now, the fund will only be available to U.S.-resident accredited investors. Bramanathan said Coinbase is working on launching more funds that are accessible to investors and cover a broader range of digital assets.
The new fund will track the Coinbase Index to be launched as well, which is a benchmark of the performance of all assets listed on Coinbase.