Bitcoin News: while the cryptocurrency market is going through a rocky phase, all eyes are pinned at the entry of institutional giants, so that the market could stabilize and enter into its much impending bull. Though it was feared that the current price crash down could discourage some industry biggies, Nasdaq Inc. is reportedly moving ahead with a plan list their Bitcoin futures.
According to two people, who are familiar with the matter, before launching the contracts, Nasdaq is working to satisfy the concerns of the U.S.’s main swaps regulator, the Commodity Futures Trading Commission. The New York exchange operator has been planning to enter the cryptocurrency ecosystem with a Bitcoin future from last year, however, it will now allow trading in the first quarter of 2019, as indicated by one of the people.
Last December, when the crypto craze was on a high, CME Group Inc. and Cboe Global Markets Inc. used an expedited self-certification process to bring their contracts to market. This met with resistance from large derivatives brokerages. Bitcoin Futures have since been intriguing the financial world as it is believed that they could usher in a new era of institutional crypto investment and trading.
The CFTC announced an enhanced review process for exchanges looking to list virtual currency derivatives after CME and Cboe listed their contracts. In January this year, Adena Friedman, Nasdaq Chief Executive Officer said that the firm is working on distinguishing their plans from contracts already offered by competitors.
The source disclosed that Nasdaq futures will be based off the Bitcoin’s price on numerous spot exchanges, as compiled by VanEck Associates Corp. CME uses prices from four markets, while it’s just one at Cboe.
On one hand, VanEck is also trying to win approval from the Securities and Exchange Commission for a crypto-based exchange-traded fund. On the other, Bakkt from New York Stock Exchange owner Intercontinental Exchange Inc. announced last week that it will launch its own contracts on Jan. 24.