Nasdaq Plans ‘Bitcoin Futures 2.0’ Rollout
The American Stock exchange, Nasdaq, plans to roll out bitcoin futures by early 2019 in a partnership with investment management company VanEck.
According to VanEck’s director of digital asset strategy, Gabor Gurbacs, both companies will work together to create various cryptocurrency products, including a “regulated crypto 2.0 future-type contract.”
In conference “Consensus: Invest” held in Manhattan on November 27, Gabor Gurbacs confirmed the news revolving around the bitcoin products.
Nasdaq, however, will not be alone in the bitcoin futures territory. The competitor New York Stock Exchange’s owner Intercontinental Exchange is preparing to launch its own Bitcoin futures products by the first quarter of next year. A cryptocurrency exchange created by ICE named Bakkt also plans to launch its Bitcoin futures product on January 24, after dismissing the initial launch date of December 12, 2018
Until now, two crypto futures products have been approved by the Commodity Futures Trading Commission, first from Chicago Board Options Exchange and second by the Chicago Mercantile Exchange. These derivatives plummeted to their lowest level since their launch in December.
The Securities and Exchange Commission (SEC) Chairman, Jay Clayton, has concerns about the limited market surveillance and the need for improved standards for custody. These issues must be resolved in order to allow cryptocurrency Exchange-Traded funds (ETF) in the market.
VanEcks’s Gurbacs said the company “ran a few extra miles working with the CFTC to bring about new standards for custody and surveillance.”
The SEC has rejected multiple ETF applications, VanEck has been separately striving for their approval. If approved, VanEck would be the first-ever bitcoin ETF. The recent rejections by SEC have not affected Gabor Gurbacs resolute to gain their approval.
“We are the closest that we can be, it is very clear to me that America wants a bitcoin ETF and we are here to build it”
The VanEck’s director of digital strategy asset is confident and optimistic, despite the recent market fall. “I say bitcoin is digital gold, and we should not dismiss a potential opportunity for the next financial system.” He said.