MV Index Solutions (MVIS), a subsidiary of the investment management company VanEck, announced the launch of MVIS Bitcoin's US OTC Spot Index (MVBTCO), a bitcoin-based index and the first to monitor bitcoin performance through over-the-counter (OTC) platforms in the United States, according to a company statement.
The index will cover the spot price of bitcoins from these OTC platforms: Circle Trade, Genesis Trading and Cumberland.
MV Index Solutions helps to develop, license and monitor asset classes such as fixed income markets, equity securities and more, with the use of investment indices. The MVBTCO, which tracks only bitcoins, increases the MVIS portfolio to 24 digital asset indices.
Thomas Kettner, CEO of MV Index Solutions, commented in the statement, stating that the company was excited to launch a "bitcoin index based on OTC trading desk price feeds", which he believes will serve OTC traders as "a point reliable reference for their trades or potential investment products ".
Gabor Gurbacs, director of Digital Asset Strategies at VanEck / MVIS, defines the launch as a great victory for "greater transparency and price discovery" for institutional investors, necessary for the development of the digital goods space.
"The index can pave the way for institutionally-oriented products, such as ETFs, as well as provide additional tools to institutional investors to execute institutional exchanges at transparent prices on OTC markets."
The Bitcoin Index should provide a new tool through which institutional investors can monitor the price of bitcoins. Up to now, data relating to this are derived from the cryptocurrency trade. With this new index, they will receive transparent and more accurate price data.
At the beginning of this year, VanEck, the parent company of MVIS and the fintech company SolidX, developed a physically backed bitcoin exchange-traded fund (ETF) and asked for it to be listed on CBOE BZX Equities Exchange .
However, the US Securities and Exchange Commission (SEC) did not deem it appropriate to approve it. The agency had delayed its decision in August and again in September; he has now requested comments from members of the public as soon as the procedure begins to decide whether or not to approve the VanEck / SolidX ETF.
One of the reasons for the delay in the approval of the ETF is the SEC's concern about market manipulation and illegal practices implemented on cryptocurrencies and digital trading platforms.
MVIS is VanEck's answer to regulatory authority concerns, as the index uses a price source based on OTC meter data subjected to "rigorous practices, legislation-driven disclosure and protection rules" of the client "- all the measures that the SEC is trying to see in a bitcoin ETF.
At the beginning of this week, the Swiss authorities have given the green light to the proposal to launch the blockchain Amun AG to list a quoted cryptocurrency product (ETP), which derives its prices from VanEck's MVIS.