Nasdaq, the second – largest stock exchange worldwide, with a market capitalization more than $ 10 trillion, has just announced that Bcause will use Nasdaq’s proprietary order matching engine. Bcause LLC is the developer of the very first “full – stack cryptocurrency ecosystem.”
The company has announced on Wednesday that it will operate a spot – cryptocurrency market via Nasdaq’s Matching Engine, clearing, and market surveillance tools in the coming months. Bcause has also filed with the U.S. Commodity Futures Trading Commission (CFTC) to become a designated contract market and launch derivatives clearing organization.
Because’s full cryptocurrency stack platform and its related market offers are expected to work on Nasdaq’s infrastructure technology and “serve the digital asset value chain as a one-stop shop for each component.” These include an efficient crypto – mining facility established in February 2018, a crypto – asset spot trading desk and a “future market and derivative clearing house.” As described, before offering these services and products, Bcause is currently receiving regulatory approval.
Nasdaq surveillance technology “is developed to make sure monitoring protocols meet the needs of the crypto marketplace” as noted in the press release. Bcause management uses supervisory tools to monitor trading on the platform and help prevent the exploitation of market manipulation activities.
Nasdaq has market technology powers for more than 250 market infrastructure and players in over 50 countries with end – to – end, mission-critical technology solutions. This includes the brokers, dealers, exchanges, clearinghouses, central stock, and regulatory authorities.
In particular, Nasdaq monitoring technology aims to ensure that BCause can monitor market manipulation or other illicit behaviors, thereby ensuring that both its a market place and derivatives are safer, as released, for the company’s customers.
“I fully expect our markets to attract a wide array of users, from those already active on the financial markets, who know the technology from Nasdaq, to a new race of investors who are eager to take part in the growing market of cryptocurrency,” added Grede.
Because CEO Fred Grede said, his business was “honored” to use its technology for its future offers in a statement.
Intense due – diligence checks are anticipated in cryptocurrency exchanges aimed at using Nasdaq’s fraud – monitoring technology. Exchanges passing the evaluation shall have access to proprietary technology which is used by Nasdaq to monitor the traditional volumes of stock trading for fraud.
Nasdaq continues to innovate, releasing new products as the rush to the crypto is intensifying with important institutional players such as Fidélity, Intercontinental Exchange and JP Morgan Chase. The liquidity indices for Bitcoin and Ethereum were live on Nasdaq a week after it announced it would add new indicators to its dataset. BLX and ELX have already been incorporated in the crypto markets to increase price transparency.