Nasdaq Launching New Bitcoin and Ethereum Indexes to Boost Crypto Cred on Wall Street
Nasdaq plans to add two cryptocurrency indexes, Bitcoin Liquid Index (BLX) and Ethereum Liquid Index (ELX), to its 40,000 indexes. Made in collaboration with crypto-data company Brave New Coin, they will be available on February 25th, showing users real-time information tied to the cryptocurrency market.
The proposed indexes will act as a single price point for Bitcoin and Ethereum with users receiving real-time messages on prices to assist in trading decisions.
According to a statement,
“Effective Monday, February 25th, 2019, Nasdaq, through its data dissemination relationship with Brave New Coin, will send real-time Bitcoin and Ethereum index level information on the Nasdaq Global Index Data ServiceSM (GIDS)”
“The Bitcoin Liquid Index (BLX) and the Ethereum Liquid Index (ELX) are each designed to provide a real-time spot or reference rate for the price of 1 BTC and 1 ETH respectively, quoted in USD, and based on the most liquid ends of their markets.”
“Both indices are calculated using a methodology that has been independently audited against key IOSCO principles. The BLX is one of the most widely-referenced BTC indices among crypto traders and has been calculated back to 2010. Likewise, the ELX has been calculated back to 2014.”
In addition to providing real-time messages on the indexes, Nasdaq will provide daily summaries of trading day activities and basic index information on its Global Index Data Service (GIDS).
According to reports published earlier this year, Nasdaq is also currently providing its proprietary market surveillance technology to a total of seven cryptocurrency exchanges.
Nasdaq CEO Adena Friedman says that the company is using its expertise to create a more trusted crypto ecosystem.
“At Nasdaq, we are working to help cryptocurrencies gain investors’ trust by offering our technology for trade matching, clearing, and trade integrity to start-up exchanges. We have also invested in ErisX, an institutional marketplace for cryptocurrency spot and futures.
Brave New Coin is a blockchain and digital asset market data company. It publishes technical analysis and research for decision making.
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