The New York Stock Exchange is delving into the world of bitcoin with the introduction of a bitcoin pricing index launching Tuesday. NYXBT, as it will be called, is the first exchange-calculated and disseminated bitcoin index. It will be featured in the NYSE Global Index Feed (GIF) and free on the NYSE index page for a limited time.
NYSE Group President Thomas Farley supports the decision to embrace innovation, saying:
New technology does not intimidate us, it excites us. It was that curiosity and also… let’s not wait for this to fully evolve; let’s get a seat early on and see how this matures. 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.”
The new index is intended to serve as a definitive benchmark for valuing the currency. NYXBT represents the U.S. dollar value of one bitcoin unit based upon actual transactions occurring on select bitcoin exchanges. Initially, the NYSE bitcoin index will feature data from transactions from Coinbase Exchange, the leading U.S.-based bitcoin exchange.
NYSE’s Index Committee will oversee the rules and methodology behind the benchmark, ensuring that it meets NYSE’s rigorous standards for transparency, liquidity, and governance. Farley suggests that NYSE’s suite of bitcoin indices is expected to grow over time, saying:
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 complimentary products based on our rigorous standards and proprietary index methodology.”
Read more here- “NYSE to Launch NYSE Bitcoin Index, NYXBT,” (MarketWatch)