When it was announced today that Bitcoin and Ether would be added to Nasdaq’s global data service, it became logical to question what implications should follow such a decision in terms of legitimizing the crypto market. To understand the most likely answer to this it is important to begin by reiterating what is meant by indices here.
Judging by CoinDesk’s report on the subject, this means that both cryptoassets will be listed in the same way that traditional assets are listed on Nasdaq’s global data feed. Therefore, it would seem that the powerful firm is ready to accept at least these two cryptocurrencies as truly legitimate. What it does not mean is that an ETF will immediately follow this listing. To date, there is still no clear regulatory guidance on whether or not such an investment vehicle will even be allowed.
On the other hand, since both assets will be pegged to USD in the form of traditional indices, one could almost conclude that Nasdaq has determined Bitcoin and Ether to be “stable enough.” This is not to say that the use case for stablecoins, especially in traditional finance, has gone out the window, but that these indices might gradually help the SEC and related agencies make definitive decisions on how to regulate all crypto projects.
If Bitcoin and Ether are treated as if they are regular assets, then why shouldn’t we able to have access to them in ETFs? What would the legal basis be for an argument against having that option? While it is nearly impossible to answer these questions now with any degree of certainty, suffice it to say that Nasdaq just put meaningful pressure on regulators.
2019 might be the year that crypto truly hits the moon and beyond if everything falls into place just right.
By: BGN Editorial Staff