A VanEck executive is claiming that some major crypto companies got the cold shoulder from S&P Global’s recent S&P 500 index update.
The Snub
Matthew Sigel, head of digital assets research at VanEck, says that Coinbase, MicroStrategy, Robinhood, and Block were surprisingly excluded despite meeting many of the index’s requirements. He suggests that the S&P’s decision might stem from concerns about the long-term profitability of these crypto-related businesses.
The Missing Crypto Giants
Sigel points out that these companies seemingly hit the necessary benchmarks, including a market cap over $20.5 billion and positive earnings over the past four quarters. He specifically highlights Robinhood, arguing that its profitability is fairly secure. He describes the situation as “conspiratorial,” implying that doubts about the companies’ continued success may have played a role in the decision.
S&P’s Criteria and the Crypto Question
The S&P 500 has specific criteria for inclusion, such as a minimum market cap, consistent profitability, and the issuance of common shares. While these crypto companies may have met many of these criteria, the uncertainty surrounding the crypto market may have influenced S&P’s decision.
Disclaimer:
This information is for general knowledge and shouldn’t be considered investment advice. Always do your own research before making any investment decisions, especially in the volatile crypto market.
