ICE Brings Bitcoin Closer to Wall Street with Crypto Data Feed
The NYSE owner is working with startup Blockstream to create a data feed that would gather information from cryptocurrency exchanges and deliver it to big banks.
Intercontinental Exchange (ICE) is working with Blockstream to create a cryptocurrency data feed, which is to collect quotations and other information from over 15 crypto exchanges worldwide and offer it to financial companies, the Wall Street Journal (WSJ) reported on Thursday. This indicates that ICE, which operates the New York Stock Exchange (NYSE), is seriously looking into Bitcoin despite yesterday’s crash.
The NYSE owner hopes to have the product ready by March this year. The feed is to deliver information over ICE’s data network in the same format applied to electronic stocks trading, which means big banks and institutional investors could show greater interest in getting access to Bitcoin-related high-speed data.
ICE’s move is an important indicator that Wall Street does not want to fence itself against the Bitcoin hype. The largest cryptocurrency was initially “approved” by the financial elite in December 2017, when Chicago-based CME and CBOE launched Bitcoin futures.
Now ICE might influence the way investors track crypto prices, volumes, and other trading indicators. This might lead to a widely accepted standard in how the rates are monitored, which can be a great alternative to websites like Coinmarketcap. The latter triggered negative reactions when it changed the way crypto prices are calculated by removing data from South Korean exchanges.
The crypto exchanges offering their data for ICE’s feed have unanimously agreed to deal with Blockstream, CEO and co-founder Adam Back noted.
Lynn Martin, head of ICE Data Services, said the company was forced to launch the feed to meet the increasing demand from clients trying to understand the crypto market.
“We’re receiving a lot of requests for information for anything that would provide transparency into this market,” she said.
Bloomberg and Thomson Reuters already provide crypto prices on their terminals. However, the ICE feed will be more advanced, detailed, and rapid.
Interestingly, ICE’s business is highly dependent on financial data products. In 2016, 44% of group net revenues derived from data sales.