The cryptocurrency market remains range-bound with a slight bearish bias as Bitcoin (BTC) fell below $18,000 yesterday after facing fierce resistance at the $19,000 level. Other altcoins followed suit. At the time of writing this article, Bitcoin has regained a small portion of yesterday’s loss to trade at $18,372, reflecting a gain of 0.7% in the last 24 hours. Ether (ETH), the native crypto of Ethereum blockchain, has gained 3.6% to trade at $567.22. XRP has gained 3.6% to trade at $0.5721.
Other major altcoins which have gained ground in the last 24 hours include Tether (USDT-$0.9977, 0.1%), USD Coin (USDC-$1, 0.1%), Binance Coin (BNB-$28.12, 2.4%), ChainLink (LINK-$12.49, 5.7%), Dash (DASH-$95.03, 1.20%), Tezos (XTZ-$2.16, 2.70%), Polkadot (DOT-$4.88, 3.40%), EOS (EOS-$2.80, 1%), IOTA (IOTA-$0.3050, 3.10%), Tron (TRX-$0.0287, 2.8%), Stellar (XLM-$0.1739, 16.9%), Cosmos (ATOM, $4.77, 2%), Cardano (ADA-$0.1466, 6.1%), and Bitcoin Cash (BCH-$267.26, 1.7%).
Major altcoins that have lost ground in the past 24 hours include Bitcoin SV (BSV-$169.10, -0.8%) and Monero (XMR-$131.53, -0.1%).
Private sector initiatives
S&P Dow Jones Indices joins forces with Lukka
S&P Dow Jones Indices has partnered with Lukka to create the foremost cryptocurrency index. In this regard, S&P Global is acquiring IHS Markit for $44 billion.
S&P Dow Jones Indices (S&P DJI), the world’s top index provider, is rolling out a worldwide crypto asset index with Lukka, a leading New York City-headquartered digital asset software and data enterprise. S&P DJI will offer S&P DJI-label and tailor-made indexing and benchmarking tools backed by Lukka’s exclusive data services such as Lukka Prime and Lukka Reference Data, the world’s foremost Fair Market Value-centered pricing model for digital assets.
As the market for digital assets has advanced in the last few years, investor expectations for benchmarking and index-based tools have risen and increased the demand for dependable pricing info.
S&P DJI is making use of a range of Lukka’s clubbed data services, including Lukka Reference Data and Lukka Prime.
The latest cryptocurrency index will pave the way for investors to gain access to the budding technology-led asset category while likely negating a portion of the risks linked with the conventionally speculative market. S&P DJI’s firmly-established index management and autonomy can offer varied exposure from a sequence of branded and tailor-made indices backed by Lukka’s institutional level info.
Hauck & Aufhäuser to launch HAIC Digital Asset Fund I on January 1st
The private German bank, Hauck & Aufhäuser revealed that it would be launching its foremost cryptocurrency fund, the HAIC Digital Asset Fund I, on the first day of next year. The fund is being created in partnership with the fintech company Kapilendo out of Berlin and targets institutional and semi-institutional investors who wish to have exposure in cryptocurrencies, including Ether (ETH), Bitcoin (BTC), and Stellar (XLM).
The fund will practice a passive investment methodology, with crypto purchase based on market cap and other crucial info. The portfolio, according to the institution, will encompass 85% of the aggregate digital asset market.
The entry-level investment is €200,000 ($242,000), with no restriction on the upper limit. The fund charges a management fee of 2.05%.
Kapilendo will work as a cryptocurrency depository, while Hauck & Aufhäuser will take care of fund administration. Board member Holger Sepp pointed out that institutional interest in cryptocurrency is increasing in Germany.
“We are seeing that digital assets and cryptocurrencies are becoming increasingly attractive with institutional investors. With the launch of our first crypto fund, together with Kapilendo, we have created an innovative investment vehicle that gives our customers inexpensive and secure access to the new crypto asset class while meeting the established quality standards and high demands of Hauck & Aufhäuser.”
SBI Group partners with SIX
Japan-based SBI Group is partnering with Switzerland’s SIX to establish a cryptocurrency exchange in Singapore in 2022, subject to regulatory clearance. The agreement was inked between SIX Digital Exchange (SDX), SBI Group, and SBI Digital Asset Holdings.
The exchange will cater to regulated institutions. The venture intends to serve the entire lifecycle of crypto, including “issuance, listing, trading, on-chain central securities depositary (CSD) and custody, to name a few,” and utilize the technical capabilities of both firms. Interestingly, SDX employs R3’s Corda, and SBI is the biggest third-party investor in R3.
Even though the announcement cited cryptos, it clarified that classic crypto-based offerings are not being aimed at. On the contrary, the service will support native assets disbursed via distributed ledger technology (DLT), for instance, equities, bonds, and securitized loans.
Miscellaneous
3iQ to launch Ether Fund under the QETH.U. ticker
Canada digital asset investment manager 3iQ is in the process of rolling out an IPO of an exchange-traded trust focused on Ether (ETH), the native crypto of Ethereum blockchain. The Ether Fund will be traded under the ticker QETH.U. on the Toronto Stock Exchange.
Up to $100 million worth of offering is aimed at the time of launch, and the last date for investing will be December 10th, 2020. Currently, 3iQ manages over C$400 million worth of assets focused on Litecoin, Bitcoin, and Ethereum.
3iQ stated: “The concept of Ethereum was developed in Canada in 2013 and subsequently launched by a group of technologists from all over the world.”
Such funds and trusts are preferred by many traders who don’t have the capacity or interest to make necessary arrangements for the custody and security of cryptos.
Disclaimer: Any financial trading analysis offered here is our opinion and is not intended as advice or direction for investors. We cannot guarantee the success of any trades made as a consequence of this article, and we encourage traders to incorporate a strong money management strategy to limit losses when they enter the markets. Please use this article as part of your own research before formulating strategies prior to trading.
