A data and research company in the blockchain and digital asset industry, Brave New Coin, creates new Bitcoin and Ethereum indices. These indices will join 40,000 Nasdaq’s indexes through GIDS data feed. On Monday the company announced its partnership with New Zealand-based Blockchain data and Brave coin. As they offer information on these two indices starting from Feb 25.
Also, NASDAQ confirms that pricing methodology for both the indices meets the International Organisation of Securities Commissions (IOSCO) principles. Hence, ensuring markets are fair, efficient and transparent. As per the alert published,
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.
The exchange operator added,
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.
Basically, this move is another example of how NASDAQ is eagerly embracing cryptocurrencies as a tool to expand trading services. Financial regulators effectively sought reliable price indices for crypto markets. While 2018 was full of Bitcoin ETF applications, all of them are under rejection — partly due to a lack of transparent price sourcing.
NASDAQ is one of the premier exchange for institutional investors. Hence the more they shine a spotlight on Bitcoin, Ethereum and major cryptocurrencies down the road, the more investors may flush money into the cryptocurrency markets through these traditional stock trading channels.