S&P Introduces First Crypto Index Based on Protocol Revenue

The S&P Pantera Digital Asset Index is a new benchmark for institutional investors to gauge the performance of blockchain networks based on their protocol revenue.

Developed by S&P Dow Jones Indices and Pantera Capital, this index selects constituents based on their actual economic activity rather than market capitalization or price momentum.

The index has launched with 18 constituents and is designed for institutional capital allocation. It can support investment products like ETFs and index funds in the future.

BTC and XRP are excluded from the index because they do not generate protocol revenue, a requirement of the index's methodology.