Crypto Giant Coinbase Will Replace Discover In S&P 500 Index on May 19

Capital OneCOF

just scored the green light to acquire payment powerhouse DiscoverDFS

, a huge win in its quest to take on VisaV

, MastercardMA

, and American ExpressAXP

. However, the acquisition will also be somebody else’s gain, as Discover will be replaced in the S&P 500 by a different kind of payments firm.

• The S&P 500 Selection Committee chose crypto giant CoinbaseCOIN
  to replace Discover in the index, effective May 19.
• On the news,COIN
  soared 24% yesterday, eclipsing a valuation of nearly $66B; though still well below all-time highs set in Dec. 2024.

Making room for new money: Despite a double miss in its Q1 report, during which crypto valuations sagged in sympathy alongside broader markets, Coinbase’s revenues still grew 24% year-over-year to $2.03B. And now, after coins were mobilized by positive macroeconomic news, Bitcoin soared to a three-month high, surpassing $100K. The rest of the market followed, with Ethereum up 50%, Solana up 23%, and Ripple up 20% this week.