Nasdaq to Launch Bitcoin Futures, $11K May Just Be the Beginning

Nasdaq, the world's second largest stock exchange, plans to launch Bitcoin futures in the first half of 2018.

According to the Wall Street Journal, Nasdaq, the second largest stock exchange in the world, is planning to launch Bitcoin futures early next year. While the WSJ quotes ‘people familiar with the situation’, if true, this development could push Bitcoin’s price much higher than the current $11,200 mark.

Bitcoin, the world’s largest cryptocurrency, went up in a heart beat this week - it was already sitting on $11,000 while updates about it breaking the $10,000 barrier were still rolling in. Now, with a market capitalization of over $181 billion, Bitcoin is bigger than IBM, Disney and McDonald’s among others.

The WSJ also cited plans by Cantor Fitzgerald LP, a prominent financial firm, to launch Bitcoin derivatives as early as the first half of 2018.

Up until now, institutional investors stayed away from Bitcoin given the volatility and security risks that surround it. However, with increased media attention (partly thanks to Jamie Dimon) and the unrelenting price surge this year, interest in Bitcoin investments has gone through the roof.

Earlier we also reported an announcement by the Chicago Mercantile Group, which is planning to launch Bitcoin futures sometime in December. The availability of Bitcoin futures is expected to increase the cryptocurrency’s market cap further as traditional investors and traders start to participate in the market.

Additionally, the recent move by Coinbase, releasing their custodian service, is a major step towards encouraging institutional investors to pour money into crypto assets, since it solves one of the biggest concerns – safe and reliable crypto storage.

The WSJ went on to add that Bitcoin futures offered by Nasdaq, would be listed on Nasdaq Futures (NFX), which is a marketplace launched in 2015.

Right now, the crypto market is at an all-time-high, and a Nasdaq listing confirmation is expected to take it even higher. While some believe this is just the beginning, there are others who are warning about an impending crash, especially since it is virtually impossible to determine a Bitcoin’s fair value in such a highly speculative market.