CryptoWire said it has entered into an agreement with cryptocurrency exchange Bitbns to commence trading on India’s first global crypto index IC15 beginning next month. With the commencement of trading on IC15, an index of cryptocurrencies, around 4 million users of Bitbns will get the benefit of trading on IC15, CryptoWire, an app that provides insights about the new asset class, said in a statement.
Market participants, individuals and institutions get the advantage of spreading their risks by taking a view on the entire market versus concentrated risk on a single currency. The company said IC15 will now be traded on Bitbns from the first week of April, giving its users greater market leverage.
It pointed out that liquidity-related risks would be mitigated by trading on the index.
It will broaden the product offerings through Exchange Traded Funds (ETFs) and other wealth management products, derivatives and basket trading for arbitrage benefits, it said.
This arrangement is similar to Trading of S&P-Dow Jones and FTSE equity indices or ETF products, which trade on NYSE, CME, Nasdaq and London Stock Exchange. Globally, Galaxy Crypto Index is one of the most popular indices for the crypto sector. Commenting on the strategic partnership CryptoWire Managing Director Joseph Massey said, “IC15 is India’s first Global Index of Crypto-currencies, and it represents more than 80 per cent of crypto assets by market capitalization.
As the crypto-currency market develops and widens, the participants would find the IC15 index offering of much greater institutional use through ETF and alternate wealth management product.”
The licensing arrangement by CryptoWire would entail royalty payments consisting of a mix of fixed and revenue dependent variable charge to cover and support research and development work, Massey said, adding that CryptoWire is neither a crypto exchange nor a crypto-currency. AGENCIES