The top US-based crypto exchange by trading volume is adding a new traditional finance (TradFi) exchange-traded product (ETP) that combines crypto with Magnificent 7 (Mag7) equities.
Two days ago, Coinbase Derivatives announced the upcoming launch of Mag7 + Crypto Equity Index Futures, a new exchange-traded fund (ETF) designed to offer combined exposure to traditional equities and digital assets.
[adinserter block="1"]The contract is intended to meet investor demand for diversified, capital-efficient tools that span multiple asset classes.
The Mag7 + Crypto Equity Index is composed of 10 equally weighted components: seven US technology stocks—Apple (AAPL), Microsoft (MSFT), Alphabet (GOOGL), Amazon (AMZN), NVIDIA (NVDA), Meta (META), and Tesla (TSLA)—alongside Coinbase Global (COIN) and two cryptocurrency ETFs: iShares Bitcoin Trust (IBIT) and iShares Ethereum Trust (ETHA). MarketVector will serve as the official index provider.
The index will be rebalanced quarterly to maintain equal weighting. As component prices fluctuate, individual weights may shift, but rebalancing will reset each to 10%.
Mag7 + Crypto Equity Index Futures will be monthly, cash-settled contracts. Each contract will represent $1 multiplied by the index value. For example, if the index is priced at $3,000, the notional value of the contract will be $3,000.
Coinbase plans to release additional details about trading access and platform availability soon, with expansion to retail users expected in the coming months.
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