Nasdaq Stock Exchange plans to start offering real-time information on two indices that are tied to the cryptocurrency market. The Bitcoin core [BTC] and Ethereum [ETH] will start featuring in the platform as from February 25.
The Two Bitcoin Indices Will Capture Data From Different Exchanges
According to a report by Nasdaq, the stock exchange will start offering The Bitcoin Liquid Index (BLX) and the Ethereum Liquid Index (ELX). It also stated that the indices would 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 market.
The BLX and ELX will function by capturing information from multiple exchanges to provide a single price point for BTC and ETH. This will aid the traders to get in and out of a given position. This method was noted to have been verified by independent auditors.
Also, the BLX is one of the most widely referenced BTC among crypto traders and has been calculated back to 2010. The ELX also calculated back to 2014.
Nasdaq Plan To Introduce Cryptocurrency
Notably, Brave new coin created the two indices and the move taken by Nasdaq is also seen an attempt to introduce cryptocurrency to traditional stock market investors on Wall Street and others, to aid mainstream adoption of cryptocurrency.
Also, the stock market has partnered some cryptocurrency exchanges for surveillance towards aiding market transparency and institutional adoption.
The two new indices are joining several indices on the Nasdaq platform. The induces include the Nasdaq Composite, its main index, and the Nasdaq 100, through its Global Index Data Service. The data service is a real-time feed of Nasdaq that consolidates all Nasdaq indexes and ETF valuation data, which include third party data.
Nasdaq Stock Exchange market is the second largest in the world after the New York Stock exchange market, with about 3,400 companies listed on the bourse. It also boasts of a market value of $10 trillion. Nasdaq venturing into cryptocurrency will boost the status of the crypto market as well as the growth.