Gone are the days when cryptocurrencies were considered something outside the mainstream financial industry. There is no denying of the fact that traditional financial institutions like banks or stock exchanges were initially not really encouraging of the new phenomenon of digital assets. But times are changing. The crypto market is on a steady stride of late and the conventional financial institutions seem to have finally found some kind of potential in digital coins.
The fact that mainstream financial bodies are now embracing the crypto industry is visibly evident from NYSE’s (New York Stock Exchange) recent step last May. The esteemed exchange created quite a stir in the fintech tinsel town lately by releasing the BTC (Bitcoin) price index- officially known as “NYXBT”. The launch happened on may 19, 2019.
NYXBT would be representing the daily USD value of 1 BTC at around 4 p.m. (BST). The value would be published right on the Global Index Feed of NYSE. In fact, it can be viewed on NYSE’s official website for limited time.
“BTC values are fast becoming a crucial data point which our users wish to follow. We have observed users are keen into investing, trading and transacting with this rising asset class”, stated Thomas Farley, the honorable group president of NYSE.
“Being a leader of global index as well as administrator of the ICE Futures American Dollar Index, ICE LIBOR and several other major benchmarks, we are looking forward to introduce transparency into this market.”
The BTC price index would utilize data from the transactions that are occurring on leading BTC exchange Coinbase.
“It’s a great thing to see that traditional leading financial institutions such as NYSE are finally taking pro-active steps to accept and operate with crypto assets. We are looking forward to a bright future of crypto in tryst with major financial bodies”, noted Sydney Ifergan, crypto expert and advisor of emerging crypto exchange Decoin. Decoin even has its own native coin under the name “DTEP”.
NYSE’s recent move with BTC is supposedly inspired by Wall Street exchange’s investment in the funding round of Coinbase.
“With this very investment, we’re looking to tap into a new form of asset class in partnership with a major portal which is bringing security, transparency & also confidence to a major growth market”, Farley added in.
Added to NYSE, other traditional financial institutions have taken active participation in the crypto world of late. Multinational banking leader Goldman Sachs invested in BTC financial service company Circle recently. Bank of NY Mellon Corp had also started to experiment with BTC’s open-source code for its corporate program.