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Coinbase Index Fund

blog.coinbase.com

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271–280 of 346 posts

Re: Coinbase Index Fund

#271

Post by ddorian43 »

mlerner wrote: post #220
gigatexal wrote: post #18

Kudos to Coinbase for launching this but a 2% fee and the fact that Coinbase is far from being trustworthy in my book I am going to wait for when/if a company like Vanguard starts such a fund.

You should check out the Bitwise HOLD10 (where I work). We are backed by Naval Ravikant (Cofounder of AngelList and CoinList. Partner at Metastable), Avichal Garg (Part-time Partner at Y Combinator. Previously Director at Facebook), and Keith Rabois (former COO at Square: https://www.bitwiseinvestments.com/about

It's 2.5%

Re: Coinbase Index Fund

#272

Post by gkfasdfasdf »

mifeng wrote: post #208
justinalanbass wrote: post #61

I have attempted to duplicate this index fund manually by purchasing the top 25 cryptocurrencies (market-cap weighted) over the past year or so. I'll say that it was hardly worth the enormous work involved, and these index funds cannot come soon enough to non-accredited investors. In some cases it's not possible to do perfectly alone: NEO has a minimum unit of 1 coin, and so if you wanted it to not be overweighted, y…

If you want to buy this Coinbase index fund, just do this: 1. Log into Coinbase 2. Buy [BTC, ETH, BCC, LTC] with [62%, 27%, 7%, 4%] weights 3. Check back in one year and rebalance That's it! As an added bonus, you just avoided 2% fees and can "redeem" anytime.

That's neat but you would have to pay 4 separate transaction fees each time you buy or sell.

Re: Coinbase Index Fund

#273

Post by ebbv »

Does anyone really think this is a good idea when the crypto market is obviously being heavily manipulated? Specifically by Tether but by others as well.

The behavior during the last crash showed obvious pumping and fake buy walls, and was only halted when Tether started printing EURT en masse.

The whole thing is insane.

Re: Coinbase Index Fund

#274

Post by b4lancesh33t »

mifeng wrote: post #235
b4lancesh33t wrote: post #223

Earlier quoted context omitted.

I'm not sure this is such good advice. It means you're guaranteed to miss out on high appreciation of anything but the largest coins. That's all well and good for a less volatile scenario like the stock market where the top20 is pretty well correlated with the top2000. But given the volatility of digital assets, i would worry that this strategy leaves more on the table.

Note that I conditioned the advice with "if you want to buy this Coinbase index fund." The fund only has those 4 coins.

Oh. I thought for some reason that their index included the top 25.

Re: Coinbase Index Fund

#275

Post by nefitty »

throwaway1748 wrote: post #159
JustAnotherPat wrote: post #74

Earlier quoted context omitted.

>Coinbase Index Fund will invest in assets in proportion to their relative market capitalizations and rebalance annually on January 1st. This thing is rebalanced only once a year. Would take 5 minutes to actually duplicate this fund since it's only 4 coins....

Presumably they'll be launching many more coins this year. There are other advantages in holding crypto through a fund rather than directly, like simplified tax accounting and not having to worry about security, either digital or physical. For many people that is worth 2%

They've announced a few times that they are not planning on adding any coins, anytime soon. I think they are better off focusing on this sort of project to keep current customers, marketing to get new ones and strengthening their customer support. New coins make all of those tasks much more complex, for probably very little competitive edge, at the moment.

Re: Coinbase Index Fund

#276

Post by kwikiel »

This design will allow Coinbase for adding some tokens they like and profit immensely from large retail base of investors investing passively in anything that Coinbase will list - becoming de-facto token curation network

Re: Coinbase Index Fund

#278

Post by lesss365 »

gkfasdfasdf wrote: post #272
mifeng wrote: post #208

Earlier quoted context omitted.

If you want to buy this Coinbase index fund, just do this: 1. Log into Coinbase 2. Buy [BTC, ETH, BCC, LTC] with [62%, 27%, 7%, 4%] weights 3. Check back in one year and rebalance That's it! As an added bonus, you just avoided 2% fees and can "redeem" anytime.

That's neat but you would have to pay 4 separate transaction fees each time you buy or sell.

Not if limit orders are placed on Coinbase's GDAX exchange

Re: Coinbase Index Fund

#279

Post by grafporno »

myroon5 wrote: post #5

Seems dishonest to not use a linear scale on this graph: https://am.coinbase.com/index Also, the minimum investment and management fee found here don't look too appealing: Minimum Investment: $10,000 2% annual management fee https://am.coinbase.com/#invest

Even more dishonest is not using the actual starting date.

Re: Coinbase Index Fund

#280

Post by [deleted] »

mifeng wrote: post #208
justinalanbass wrote: post #61

I have attempted to duplicate this index fund manually by purchasing the top 25 cryptocurrencies (market-cap weighted) over the past year or so. I'll say that it was hardly worth the enormous work involved, and these index funds cannot come soon enough to non-accredited investors. In some cases it's not possible to do perfectly alone: NEO has a minimum unit of 1 coin, and so if you wanted it to not be overweighted, y…

If you want to buy this Coinbase index fund, just do this: 1. Log into Coinbase 2. Buy [BTC, ETH, BCC, LTC] with [62%, 27%, 7%, 4%] weights 3. Check back in one year and rebalance That's it! As an added bonus, you just avoided 2% fees and can "redeem" anytime.

[deleted]
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