Showing posts with label Nasdaq. Show all posts
Showing posts with label Nasdaq. Show all posts

November 29, 2017

Bitcoin Futures Trading is coming to Nasdaq, the World’s Second Largest Stock Market

By Joseph Young - November 29, 2017 (

The $6.831 trillion stock market Nasdaq, the world’s second-largest stock exchange behind New York Stock Exchange, will enable bitcoin futures trading by mid-2018.

Nasdaq and Cantor to Integrate Bitcoin by First Half of 2018

A Wall Street Journal report revealed that Nasdaq and Cantor Fitzgerald & Co. will list bitcoin futures within the first half of 2018. The two financial institutions are “rushing” the integration of bitcoin given the cryptocurrency’s recent surge in price, to $11,441.

According to sources familiar with the Nasdaq’s plans for a bitcoin futures exchange launch, Nasdaq’s bitcoin futures and contracts will be listed on Nasdaq Futures. Through that, investors in the traditional finance sector and stock brokerages will be able to engage in bitcoin trading.

In an interview with WSJ, Cantor, a major US-based financial firm, also revealed that it intends to launch bitcoin futures and derivatives on its flagship exchange.

Shawn Matthews, chief executive of Cantor Fitzgerald & Co., stated that cryptocurrencies are a new asset class that “is not going away,” and that bitcoin is here to stay.

He stated:

"The asset class is not going away. If you look at the next level, it will be the institutions coming in and being larger participants in the marketplace, especially as liquidity gets better".

Cantor’s futures exchange has already been approved by the US Commodities and Futures Trading Commission (CFTC), and considering that CFTC has approved several bitcoin futures listings including the bitcoin options, derivatives, and futures exchange of LedgerX, regulatory hurdles of Cantor in listing bitcoin are expected to be minimal.

Nasdaq’s Bitcoin Integration Will Trigger Other Exchanges to Adopt Bitcoin

Other major exchanges including Nodal Exchange are actively investigating the potential of listing bitcoin futures on their regulated exchanges and trading platforms.

John D’Agostino, a former Nymex executive, told WSJ that every department of every regulated exchange is considering listing bitcoin futures, and that the number of bitcoin futures exchanges will drastically increase throughout 2018, as leading exchanges and markets such as CBOE, CME, Nasdaq, and Cantor move to implement bitcoin.

“Every research department of every regulated exchange is saying, ‘Can we do this?. The majority of costs associated with that are marketing. If people want to trade this thing, why wouldn’t you?. This is a gift from the heavens,” said D’Agostino.

In early 2017, the integration of bitcoin futures could have required marketing to a certain extent to attract investors within the traditional finance sector. Currently, the mere act of integrating bitcoin is an impeccable marketing strategy. Some reports revealed that if multi-billion dollar companies like Overstock switch their businesses to cryptocurrency-focused ventures, they are likely to see 70 to 100 percent increase in sales and market valuation.

Given the rapid increase in the mainstream adoption of bitcoin and the rise in demand for cryptocurrencies, every exchange in the US and in the global finance market is planning to integrate bitcoin in the short-term. Nasdaq’s listing of bitcoin futures will trigger more exchanges to pursue the path of bitcoin futures in the upcoming months.

Featured image from Shutterstock.

November 09, 2017

ICOs immature, regular stock exchanges best method to raise money - Nasdaq Vice Chairman

By Lisa Froelings - November 09, 2017 (

Stock exchange Nasdaq vice chairman Bruce Aust has claimed that the initial coin offering (ICO) is still very immature as a funding method and that the stock exchange is still the best place for companies to raise money. He further stated that ICOs are still in their early stages and offer high risks to investors.

In an interview with CNBC at the Web Summit tech conference that was held in Lisbon, Portugal in early November 2017, Aust argued that the Blockchain technology-based ICOs are still in their “infancy” and the stock exchange is still the best bet for raising company capital. He cited the key role played by Nasdaq in assisting firms in raising money through the Nasdaq private and public markets.

"[Nasdaq is] the market for companies to raise capital. We are a regulated market, I think that's the difference between us and an ICO. And we'll see at some point those markets become regulated and that will change everything.”

Latest developments in and performance of the ICO market

ICOs have been growing in popularity as a means to raise capital for startup companies. Based on CoinDesk’s ICO Tracker data, ICOs have generated more than $3.5 bln so far with the bulk of the amount raised in 2017.

However, the market has been hounded by negative headlines recently.

In October 2017, Wikipedia founder Jimmy Wales has criticized the ICOs as “absolute scams” and warned investors to be very careful about them. This scathing remark was followed by a similar claim by financial analyst Jordan Belfort, who is called the “Wolf of Wall Street.” In his comment, Belfort said that the ICOs or token sales are the “biggest scam ever.”

Meanwhile, the financial regulators in China and South Korea have ordered outright bans on ICOs.