Bloomberg announced a partnership with Galaxy Digital Capital Management, a digital asset management company founded by billionaire Bitcoin Mike Novogratz on Wednesday (9/May). The duo has announced the launch of a crypto currency index called the Bloomberg Galaxy Crypto Index (BGCI) that will track the performance of some of the largest and most liquid cripples in the market.
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Bloomberg Galaxy Crypto Index (BGCI)
The crypto index will be owned and managed by Bloomberg Index Services Limited, in collaboration with Galaxy Digital Capital Management. Being the latest feature of Bloomberg, BGCI will provide the first institutional class benchmark for the crypto currency market. The index is expected to provide a boost to the nascent crypto market, as well as provide more access to mainstream financial institutions.
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BGCI will focus on market capitalization and will track the performance of some crypto currency traded with USD such as Bitcoin (BTC), Ethereum (ETH), Ripple (XRP), Bitcoin Cash (BCH), EOS (EOS), Litecoin (LTC) , Dash (DASH), Monero (XMR), Ethereum Classic (ETC), and Zcash (Zcash). This index will include different crypto currency constituents in different categories including crypto stock, value storage, privacy assets, and Smart Contracts protocols.
The two companies in a statement said that in order to determine the crypto currency performance metrics, they would use methodologies and data based on rules based on sources that have resulted from both companies
Increased Crypto Interest
Alan Campbell, Global Product Manager for Bloomberg Index said, "The launch of the BGCI crypto index today reflects our growing client interest in crypto currencies.This index will bring our rigorous approach to indexing the construction to crypto, and will provide investors a transparent benchmark for measuring wider market performance. "
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Michael Novogratz, CEO of Galaxy Digital Capital Management, said, "Bloomberg Galaxy Crypto Index (BGCI) brings unprecedented transparency to the crypto market We are delighted to push the decentralized revolution through the creation of BGCI."
Not just Bloomberg; the world's largest crypto currency exchange Coinbase also announced the launch of the crypto index called "Crypto Index Fund" in early 2018. Several major institutional players have also been seen launching crypto services and trading platforms recently. In the near future, financial giants like Goldman Sachs and the NYSE-Parent Intercontinental Exchange are also planning to launch their own Bitcoin trading platform.
Source : https://www.bloomberg.com/company/announcements/bloomberg_galaxy_launch_cryptocurrency_index/