Digital currency wallet Coinbase has launched an Index Fund to help accredited investors back blockchain-based digital assets.
Coinbase Index Fund, will initially only be available to US-based accredited investors, but the company is looking to launch more funds to cover all investors and digital assets. The vehicle will give exposure to the digital assets on the Coinbase exchange and any new ones listed will be automatically added to the fund.
Founded in 2012, the company connects bank accounts, debit cards or credit cards to its cryptocurrency exchange to trade in an out of local currency. Coinbase, which is a used in 32 countries, stores the digital tokens on the platform and are covered with insurance.
The company is also launching the Coinbase Index which is a measure of the financial performance of digital assets on the Coinbase exchange. This service allows consumers to view current and historical levels for the assets on the platform.
A blog post by the company said. â€œIndex funds have changed the way that many people think about investing. By providing diversified exposure to a broad range of assets, index funds enable investors to track the performance of an entire asset class, rather than having to select individual assets. Weâ€™re excited to give our customers the ability to invest in the potential of blockchain-based digital assets as a whole.â€
Coinbase is also looking to hire more staff across its San Francisco, New York and London offices.
Last year, the company raised $100m in its Series D funding round led by IVP. The capital was raised to support the expansion of its engineering and support teams as well as opening the New York office. The companyâ€™s total funding efforts have reached $216m.
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