S&P Dow Jones Indices Adds Five New Cryptocurrency Indexes

S&P Dow Jones Indices announced Tuesday the debut of five new cryptocurrencies indeed to bring its total to eight.
S&P Dow Jones Indices Adds Five New Cryptocurrency Indexes
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This story originally appeared on be[IN]crypto

S&P Dow Jones Indices announced Tuesday the debut of five new cryptocurrencies indeed to bring its total to eight. 

One of the world’s leading index providers, the S&P Dow Jones, has announced the launch of five new cryptocurrency indexes designed to track the performance of the digital asset market more effectively. The main addition, the S&P Cryptocurrency Broad Digital Market Index (BDM), is able to keep track of nearly 250 digital assets from day one of launch. The BDM represents the next step in the S&P Dow Jones’ previously launched crypto benchmarks. 

While the Broad Digital Market Index is the party piece of this most recent launch, a quartet of other crypto-focused indexes were launched on Tuesday as well. Each of these is meant to keep track of different components of the broad digital market benchmark.

The four additional indexes are: S&P Cryptocurrency BDM-Ex-LargeCap Index, S&P Cryptocurrency BDM Ex-MegaCap Index, S&P Cryptocurrency LargeCap Index, and S&P Cryptocurrency LargeCap Ex-MegaCap Index. Each of the new additions relies on crypto-data provider Lukka to determine the composition of each benchmark. 

Peter Roffman, the Global Head of Innovation and Strategy at S&P Dow Jones Indices stated, that “For more than a century, our indices have offered insight into how the markets are performing. Now, with the introduction of the S&P Cryptocurrency Broad Digital Market Index, we’re providing that answer to cryptocurrency investors.”

Roffman goes on to say that the most recent expansion “gives one of the broadest snapshots yet of this rapidly growing asset class, with the ability to slice and dice by market cap.”

S&P Dow Jones’ new Indexes

Diving in a bit deeper to the new indexes announced today, they are each part of the expansion of the company’s digital asset benchmarks, the S&P Digital Market Indices. According to the press release, each index serves a different yet important function. The LargeCap Index functions as a subset of the BDM that measures the performance of users with the largest market cap. The BDM Ex-MegaCap Index is also a subset of the BDM, but it excludes the constituents of the MegaCap index (BTC and ETH). The Ex-LargeCap Index excludes constituents of the LargeCap Index whole the Ex-MegaCap Index measures the performance of the constituents of the LargeCap index but excludes the constituents of the MegaCap index.

Each of the new indices joins the exiting benchmarks that currently make up the Digital Market Indices that are the S&P Bitcoin Index, S&P Ethereum Index, and the S&P Cryptocurrency MegaCap Index.

This story was seen first on BeInCrypto
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