VanEck subsidiary launches Bitcoin US OTC Spot Index

MV Index Solutions, a subsidiary of investment management firm VanEck, has announced the launched of a bitcoin index based on the U.S. price feeds from established OTC digital asset trading operations.

The MVIS Bitcoin US OTC Spot Index (MVBTCO) shows the spot price of bitcoin by tracking its performance based on three of the leading providers in OTC liquidity, including Circle Trade, Cumberland and Genesis Trading. The index expands MVIS’ portfolio to a total of 24 digital assets indices.

“We are excited to be the first provider to launch a bitcoin index based on the pricing feed of OTC trading desks,” said Thomas Kettner, Managing Director at MV Index Solutions. “This enables clients who trade over the counter to use this index as a reliable benchmark for their trades or potential investment products.”

Gabor Gurbacs, Director of Digital Asset Strategies at VanEck/MVIS, said that the index could pave the way for institutionally oriented products, such as exchange-traded funds (ETFs) and enable institutional investors to execute institutional size trades at transparent prices on the OTC markets.

“MVIS’ work with our core OTC partners, Cumberland, Circle Trade and Genesis Trading, is a major step forward towards greater transparency and price discovery in the institutional Bitcoin market,” Gurbacs said.

Earlier this year, VanEck, together with SolidX, applied to list a physically-backed bitcoin ETF Chicago Board Options Exchange’s (CBOE) BZX Equities Exchange, CoinTelegraph reported. The U.S. Securities and Exchange Commission (SEC) is yet to decide on the matter.

Last month, the regulator published a memorandum from a meeting regarding the bitcoin ETF proposal from the two companies in which the parties addressed the reasons given by the SEC to disapprove SolidX’s previous ETF application last year.