It appears NASDAQ will introduce tools that will aid institutional investors to track the movements of cryptocurrency prices.
According to a Coindesk report citing a person familiar with the company’s plans, the crypto tools will be added to its Analytics Hub which currently tracks movements for traditional assets.
Crypto Tool to be added to NASDAQ Analytics Hub
NASDAQ’s Analytics Hub uses modern technologies including machine learning, natural language processing capabilities, and Artificial Intelligence to analyze information from social media, central bank communications, technical factors, and events.
By tracking these new data sets, NASDAQ hopes to help investors to make better-informed investment decisions.
This will be the first time this tool will be used to benefit Crypto investors since the hub was introduced in May 2017. This is in line with the huge interest cryptocurrency have been getting among institutional investors.
About 500 crypto assets will be tracked and focus will be on fund flows via wallets, data from exchanges and social media.
Bill Dague, Nasdaq’s head of alternative data, was quoted as saying that “given the abundance of interest, [Nasdaq is] exploring cryptocurrency related datasets,” adding that it was not certain the company will launch a crypto-related product.
On the other hand, an anonymous source confirmed that the crypto analytics tool was undergoing a beta testing ahead of a prospective launch date in November.
NASDAQ positive about Crypto without an Actual Crypto Product
Vibes coming from within the exchange this year indicates that it is optimistic about the cryptocurrency market. Adena Friedman, CEO of Nasdaq has in the past suggested that it was considering offering bitcoin futures contracts. In April, she suggested that the exchange will consider operating a crypto trading platform.
However, the company has been called out for not having an actual crypto product putting its optimism towards crypto into question. If Nasdaq follows through with this crypto tool, it will join the likes Bloomberg and Reuters who currently track data and sentiments around crypto assets.
Solomon Sunny is the market reporter for Smartereum, one of the global leaders in Ethereum, blockchain and currency news. He produces technical price updates on digital currencies and writes recent developments about blockchain.