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Nasdaq Says Yes To Cardano: ADA Earns A Spot Among Crypto Giants
- Cardano's ADA has been added to the Nasdaq Crypto Index, joining Bitcoin and Ethereum in a key institutional benchmark.
- The inclusion signifies Cardano's move into the institutional spotlight and recognition beyond just being another blockchain token.
- The Nasdaq Crypto Index expanded from five to nine assets, adding Cardano (ADA), Solana (SOL), Ripple (XRP), and Stellar (XLM) to the list.
- This broadening of the index provides more options for funds tracking this benchmark and offers newcomers a seat at the table.
- Previously, Bitcoin made up 85% of the index and Ethereum held 10%, with ADA and the other additions leading to new weight distributions at 75% and 11% respectively.
- The updated index allows portfolio managers to diversify risk across a wider range of tokens, reducing the concentration on Bitcoin and Ethereum.
- While the index now encompasses all 9 assets, the Hashdex Nasdaq Crypto Index ETF in the US continues to only hold Bitcoin and Ethereum until SEC approval for rulebook updates, expected in early 2026.
- Cardano's inclusion in the index brings added liquidity, price support, and facilitates entry into institutional portfolios, potentially leading to narrower trading spreads and reduced volatility.
- Trading platforms, custody services, and exchanges will need to meet the index's criteria for volume, regulations, and storage to accommodate increased institutional interest in ADA.
- This move highlights increased scrutiny and attention from major finance players towards Cardano, although actual ETF inclusion in the US remains subject to further regulatory steps.
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