S&P Dow Jones Indices To Launch Cryptocurrency Indexes In 2021

S&P Dow Jones Indices, a division of financial data provider S&P Global Inc, said on Thursday that it will launch cryptocurrency indices in 2021, making it the latest major finance company to enter the nascent asset class. Reuters reports: The S&P DJI-branded products will use data from New York-based virtual currency company Lukka on more than 550 of the top traded coins, the companies said. S&P's clients will be able to work with the index provider to create customized indices and other benchmarking tools on cryptocurrencies, S&P and Lukka said in a joint statement. S&P and Lukka hope more reliable pricing data will make it easier for investors to access the new asset class, and reduce some of the risks of the very volatile and speculative market, they said. The move by one of the world's most well-known index providers could help cryptocurrencies become more mainstream investments.

A fool and his money...

[gosso920]

n/t

Re:

[ShanghaiBill]

Slashdotters were saying that only fools buy bitcoins when it crossed the one-cent threshold. That was 190000000% ago.

Fix the money, fix the world: Bitcoin!

[Anonymous Coward]

Bitcoiners are realists. We all know since the end of the classical Gold Standard, our monies are non optimal. Our monies are designed to give an advantage to the people who control them. This is known as the Cantillon Effect.

Bitcoin is an incorruptible money, better and harder than the Classical Gold Standard.

You can't isolate yourself from the consequences of others holding harder money than you.

Re:

[ArchieBunker]

I remember following the progress on Gizmodo back in 2009 or so. Sounded interesting but I didn't feel like buying a GPU or bothering to set up a wallet. Well had I bought $10 worth back then I'd be retired right now.

Somebody is going to get caught holding the bag

[rsilvergun]

it's just a question of who. There's a name for it, "The Greater Fool Theory".

The entire Crypto market is held up by the purchase of illegal drugs and money laundering. We know this because with the exception of a few quirky stores that's the only places you can buy real, physical goods with crypto. Other stores dabbled in bitcoin but the insane volatility of it meant you could sell $100 bucks worth of stuff and then go to cash in your coins the next day and be out $90 bucks.

Drugs are (very slowly)

Re:

[codebonobo]

I spend and replace my Bitcoin almost daily and save money off most of the things I buy with Bitcoin. Volatility doesn't hurt most merchants as they use Bitcoin as a payment rail. You can buy almost anything with Bitcoin including homes and cars.

Re:

[ShanghaiBill]

The volatility is caused by illiquidity. As bitcoins are more heavily traded, the volatility will diminish.

This is already happening. Bitcoins are less volatile today than a few years ago.

Re:

[denzacar]

If you can get in and out and sell your junk to a Greater Fool you'll make out Ok.

For all of it to go "PFFTtt..." once the Ponzi bubble pops and you end up on the street eating cat food straight from the can, using the can lid as a spoon.

It's literally imaginary value being assigned to electricity spent to do NOTHING - that you can then gamble on.
Only now, you'll be able to gamble on the results of the gambles too.
And so will various funds, banks, markets... With money and assets you and everyone else gave them for safekeeping.

Now... The trick is to bend the lid so as not to cut yourself

Re:

[Joce640k]

(shrug)

If these guys are getting in on it them I guess there's broker comissions to be made. The brokers never lose.

Re:

[Applehu Akbar]

(shrug)

If these guys are getting in on it them I guess there's broker comissions to be made. The brokers never lose.

Any one cryptocurrency is speculative enough, but at least its money supply is mathematically limited. But as soon as the speculation-industrial complex starts to see crypto in general as an "asset class" the crypto money supply can be made as big as you want to by marketing new currencies. Hello, bubble.

Re:

[Cid Highwind]

That was 2017-18 ICO mania. "Buy our token, we're putting your baby's diapers on the blockchain!"
Everything old is new again, the cycle time is just getting shorter.

Re:

[ladislavb]

Yes, we know you missed the boat. You really don't have to justify it at all.

Indexes or Indicies?

[quenda]

Tomayto, tomahto - FFS, just pick one.

Re:

[TeknoHog]

I'd say "indices", but my comment will probably modded as "incendiary".

Finally

[mobby_6kl]

Looking forward to buying Dogecoin ETFs next year

Re:

[DontBeAMoran]

I'm not a doctor but I think you should see one ASAP.

'550 of the top traded coins'

[Fly Swatter]

It seems to me that if you have 550 types of anything, then it is just a collectible. Please stop referring to them as 'coins'. Call them shares because they don't work any different than the stock market at this point.

Re:

[cmseagle]

Call them shares because they don't work any different than the stock market at this point.

I'd say they're closer to lottery tickets. Shares represent ownership in a company and are tied to the performance (and expected future performance) of said company. Some of them entitle you to a share of that company's revenue in the form of dividends. With cryptocoins there never really seems to be a rational reason to "invest" in them beyond "I hope I'm getting in on this early so someone will pay me more for it in the future."

"More Reliable Pricing Data"

[bill_mcgonigle]

They mean centrally-controlled data, without market influence. There's no one price for a crypto asset - markets provide exchange pairs.

Back in the 19th Century a stock could only be listed on one exchange so they were vulnerable to the whims of the exchange and if an exchange had an outage that company was vulnerable.

Mathematics and computers made that model obsolete. Now assets can be on any number of exchanges simultaneously, distributed ledgers keep them synchronized, and users are free to choose the e

perpetual motion

[bugs2squash]

1) Buy iibra futures with bitcoin

2) hedge against environmentalist outrage by buying carbon credits

3) profit !

It's infallible I tell you

Re:

[Cid Highwind]

There's no need for energy-wasting "proof of work" to reach consensus, just "proof of we're Facebook and you aren't"

Hard Money: Money hard to make!

[slashways]

https://www.fidelitydigitalass... [fidelitydi...assets.com]
https://medium.com/@danhedl/po... [medium.com]

But...

[LordHighExecutioner]

...can I buy S&P Cryptocurrency index futures paying with paper money ?

I dont get it

[bumblebees]

Is this just so they can skim some profits of every order? Are they starting to feel leftout?

In Other Words

[organgtool]

A new contender just offered to give everyone massive pumps to increase the amount of air in an already humongous bubble. The stock market itself is already extremely overvalued, as are many digital currencies, and putting the two together is only going to push the market and digital currencies even more out of whack with reality. This is going to be extremely interesting to watch.