Starting the 25th of February, Nasdaq will introduce two new indices which will provide real-time information on Bitcoin and Ethereum. These indices are from the Brave New Coin crypto index and will offer the latest reference rates for the price of Bitcoins and Ethereum in USD. These new indices are named the Bitcoin Liquid Index (BLX) and Ethereum Liquid Index (ELX).
Nasdaq officially announced this via an update on their website. The exchange points out that the data will be real-time and will be updated every 30 seconds. Nasdaq also acknowledged the fact that BLX and ELX have been around since quite a long time and are credible names when it comes to cryptocurrency prices. The notification on the Nasdaq website reads:
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 and ELX indices are credible as they capture data from a number of exchanges to provide a single price point which is quite accurate and unbiased. The BLX has been around since 2010 while the ELX has been around since 2014. Nasdaq has also pointed out that independent auditors have verified these indices.
The Nasdaq stock exchange is among the biggest names in mainstream global finance. Considering that Nasdaq has now added cryptocurrency indices to its platform, it will help drive cryptocurrency adoption across the US. In a time where wall-street firms are dilly dallying on their stance about cryptocurrencies, this comes as quite a statement from Nasdaq.
Nasdaq’s Crypto Association
Nasdaq, which is the second largest stock exchange in the world (second only to the NYSE), has shown interest in cryptocurrencies in the past too. In the past, Nasdaq was associated with DX - which was a Nasdaq-powered cryptocurrency exchange. Moreover, Nasdaq, in Q3 2018, was moving forward towards acquiring Cinnober, a crypto-friendly firm. In December 2018, Nasdaq had claimed that it plans to launch Bitcoin Futures Contracts in the first half of 2019.
Another strong sign of Nasdaq’s interest in cryptocurrencies had come in April 2018, when Nasdaq had considered the possibility of starting off with a cryptocurrency exchange of their own. Nasdaq CEO Adena Friedman too, was quite bullish on the blockchain and cryptocurrency technologies.
Talking of stock exchanges, the NYSE too, is quite interested in cryptocurrencies. NYSE’s parent firm Intercontinental Exchange (ICE) launched Bakkt last year, which is all set to introduce Bitcoin Futures Daily Contracts in the near future. This alliance between the wall street and cryptocurrencies is getting stronger - and is likely to beneficial for the crypto community!
Stay tuned with us at Cryptoground for more updates from the world of cryptocurrencies and the blockchain technology!