The New York Stock Exchange (NYSE) will establish a trading platform for Bitcoin derivatives
Goldman Sachs and Nasdaq have also shown interest in trading cryptocurrency previously
Wall Street’s interest in integrating cryptocurrency into its business seems to be on the rise.
Intercontinental Exchange (ICE) – the parent company of the world’s largest stock exchange desk, the New York Stock Exchange (NYSE) – is working on a Bitcoin exchange for large investors, The New York Times reports.
ICE also plans to establish SWAP contracts with other financial institutions, which will allow customers to own Bitcoin without immediate trading with the support and security of the exchange.
In April, Nasdaq’s CEO, Adena Friedman, said the stock exchange is open to the idea of becoming a cryptocurrency exchange in the future, but only if space matures and becomes better regulated.
Last week, Goldman Sachs also made public its intention to start using its own money to trade with its customers on various Bitcoin price-related contracts, such as futures.
It should be noted that Nasdaq and Goldman Sachs have not yet followed through on their cryptocurrency trading ambitions – beyond simply entertaining the option, that is.
In this spirit, it will be interesting to see how the ICE’s plans are going.
Yet NYT suggests that ICE’s foray into cryptocurrency is far from a fait accompli – the project could still collapse if regulatory hesitations arise.
NYSE’s reputation could give Bitcoin trading credibility and attract traditional traders, who tend to turn away from unregulated markets and services.