Coinbase's stock pops as the crypto exchange will join the S&P 500 index next Monday

By Claudia AssisCoinbase Global Inc. is joining the S&P 500 index on May 19, S&P Dow Jones Indices announced late Monday.Coinbase shares (COIN) rocketed more than 8% in the extended session after ending the regular trading day up 4%.A place in the S&P 500 index is a coveted spot for companies. It brings the shares to a much broader range of investors, as well as to passive funds that track the benchmark and actively managed funds that may have limitations to where they can invest.The crypto-trading company will replace Discover Finance, which Capital One Financial Corp. (COF) is acquiring in a deal that is closing soon.Coinbase was snubbed in the most recent S&P 500 index SPX shakeup in March, which ushered in DoorDash Inc. (DASH), TKO Group Holdings Inc. (TKO), Williams-Sonoma Inc. (WSM) and Expand Energy Corp. (EXE).A company's market capitalization is not the only admission ticket to the benchmark index, even as S&P 500 names are some of the largest U.S. companies by market value. Inclusion criteria include measures of profitability and float.Coinbase last Thursday reported a disappointing quarter that the company pinned on the drop in cryptocurrency prices, alongside the broader market, due to tariffs and economic uncertainty.First-quarter sales missed Wall Street's expectations and dropped when compared to fourth-quarter sales. The company showed an even steeper quarter-on-quarter drop for its transaction revenue and called for lower current-quarter subscription sales.-Claudia AssisThis content was created by MarketWatch, which is operated by Dow Jones & Co. MarketWatch is published independently from Dow Jones Newswires and The Wall Street Journal.