Coin Metrics, a well-known provider of cryptocurrency financial insights, market data, and risk management solutions, has announced that it is reinstating XRP to its CMBI 10 Index. The decision comes after a comprehensive evaluation that confirmed XRP meets the investability requirements outlined in the CMBI Multi-Asset Methodology. The reinstatement will take effect during the June index review.
The news was first brought to light by a pseudonymous XRP community figure named WrathofKahneman on social media platform X. The CMBI 10 Index is designed to track the performance that an investor can expect from a diversified portfolio of cryptocurrencies, with the weightings based on their available market capitalization. It includes the top 10 large-cap cryptocurrencies, including XRP, chosen based on their projected market capitalization over the next decade. The index aggregates price data from leading global trading platforms that adhere to its market selection framework.
Coin Metrics initially removed XRP from the CMBI 10 Index in 2021 due to concerns about its investability following the SEC’s lawsuit against Ripple Labs. The suspension of XRP trading on major exchanges such as Bitstamp, Coinbase, Binance.US, and Bittrex influenced the decision. These actions made it difficult for U.S. investors to access XRP markets, negatively impacting the investability of CMBI multi-asset products.
However, XRP achieved a victory in the SEC lawsuit in July 2023, leading to its relisting on American exchanges, including Coinbase. Despite this, Coin Metrics took ten months after the lawsuit victory to reinstate XRP, while Grayscale, which removed XRP from its GDLC following the initial delistings by U.S. exchanges, acted more promptly and reinstated XRP in January.
Coin Metrics’ announcement about the reinstatement of XRP coincides with the return of XRP trading to crypto enthusiasts in New York.
Disclaimer: This article is for informational purposes only and should not be considered financial advice. The opinions expressed in this article are solely those of the author and do not reflect the opinion of The Crypto Basic. Readers should conduct their own research before making any investment decisions, and The Crypto Basic is not responsible for any financial losses incurred.