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Nasdaq, the second largest stock exchange in the world, plans to introduce a Bitcoin futures market by the first quarter of 2019.
Sources told Bloomberg that Nasdaq worked with the Commodities and Futures Trading Commission (CFTC) to receive regulatory approval to operate as a market operator for compliant cryptocurrency futures.
The report said:
"The Nasdaq has worked to meet the concerns of the major US swap regulator, the Commodity Futures Trading Commission, before launching the contracts, the people said.The exchange rate operator in New York, which has been reported for the first time looking at Bitcoin futures last year, he wants to allow trading in the first quarter of 2019, one of the people said. "
What impact will Nasdaq Plus Bakkt have on Bitcoin?
Bakkt, a cryptocurrency exchange built by ICE, the parent company of the New York Stock Exchange, is expected to launch its Bitcoin futures market on January 24th.
On November 20, the company delayed the listing of Bitcoin futures by citing an unexpected increase in demand for its futures product. Bakkt said he needed more time to prepare the infrastructure needed to serve a large group of US-based investors.
"ICE Futures US, Inc. will list the new daily futures contract Bakkt Bitcoin (USD) for trading on a trade date on Thursday, January 24, 2019, subject to regulatory approval.The new quotation deadline will provide additional time for the boarding of the customer and clearing member before the start of trading and warehousing of the new contract, "announced Bakkt.
Currently, the demand from institutional investors for cryptography can only be assessed through the numbers Bakkt, Fidelity Digital Assets, Goldman Sachs, BitGo Custody, Coinbase Custody and other major over the counter (OTC) markets can provide.
The entry of the Nasdaq into a long-term bearish market and downtrend suggests that the company sees sufficient institutional demand from the US market. A Nasdaq-sized conglomerate does not allocate a large part of its resources to developing an infrastructure for a new asset class, unless it is certain that demand will increase over time.
Depending on the delivery of the Nasdaq plans, by the second quarter of 2019, the cryptocurrency market may have Nasdaq and NYSE, two of the largest exchanges, in the global market that manages the Bitcoin futures markets.
Bakkt physically delivers Bitcoin to its investors and, as such, could have a real impact on Bitcoin's supply and ultimately on its price. The complexities of the Nasdaq plans remain unclear, but the two markets could lead to an increase in additional liquidity for the asset.
SEC concerns
Since August, when the US Securities and Exchange Commission (SEC) denied futures market-based exchange funds (ETFs), the committee has consistently stated that the futures market has no significant size to manage large-scale investment.
In the next 6-12 months, the SEC position against the Bitcoin futures market may change if Bakkt and Nasdaq demonstrate the real demand from local investors.
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