The New York Stock Exchange (NYSE) announced Tuesday the launch of the NYSE Bitcoin Index (NYXBT), the first exchange-calculated and disseminated Bitcoin index. The NYXBT Index will represent the U.S. dollar value of one Bitcoin based upon actual transactions that occur on select Bitcoin exchanges that have been evaluated and meet the NYSE’s quality standards.
The NYSE said in a press release that the NYXBT uses a methodology that relies on rules-based logic to analyze a dataset of matched transactions and verify the integrity of the data in order to produce an objective and fair daily value of one BTC in U.S. dollars as of 16:00 London Time. The index will be published within a short period of time through the NYSE Global Index Feed, as well as made publicly available for an initial period on the NYSE index page.
NYSE’s Index Committee will oversee the rules and methodology behind the benchmark, making sure it continuously reflects the current nature of the evolving Bitcoin market. The committee will also identify and review the data sources for the index calculation process as further exchanges meeting the NYSE’s stringent standard for governance, liquidity, and transparency are identified. The NYSE Bitcoin suite of indices is expected to grow, with new indices added over time.
“Bitcoin values are quickly becoming a data point that our customers want to follow as they consider transacting, trading or investing with this emerging asset class,” said NYSE Group President Thomas Farley in the press release. “As a global index leader and administrator of ICE LIBOR, ICE Futures U.S. Dollar Index and many other notable benchmarks, we are pleased to bring transparency to this market. By combining our technology infrastructure with our expertise in index calculation and data management, we will continue to launch complementary products based on our rigorous standards and proprietary index methodology.”
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