Coinbase Might Be Stopping Crypto Index Fund
Earlier in the year, Coinbase initiated a new crypto index fund for investors in order to promote the concept that crypto is a class of assets. Now, the firm is allegedly shutting down the fund after a low investor interest, according to an anonymous source.
Making a Switch
Someone who claims to be close to Coinbase’s index fund alleges that it was not able to gather enough clients, which in turn produced less funding than the firm had anticipated. Prior to launching the platform, Coinbase stated that it saw quite the demand, so the move is unfortunate.
With a launch last month, Coinbase has shifted its focus to “Coinbase Bundle”, which allows customers to purchase crypto bundles for $25 and up.
Circle Invest and other services already offer bundle deals similar to Coinbase Bundle, however their minimum goes as low as $10. With Coinbase being the biggest US-based crypto exchange, bundles are helpful for its mainstream appeal.
Despite the disappointment, Coinbase will most probably bounce back without any issues as it has been successful in handling setbacks in BTC scalability and practices a high level of security.