New York Stock Exchange Launching Bitcoin Index

Great news surfaced this week for all the Bitcoin lovers and enthusiasts this week, as the New York Stock Exchange (NYSE) announced that they are planning to launch a Bitcoin index. The Bitcoin index will be the first exchange-calculated and disseminated Bitcoin index in the world.

The Bitcoin index will be launching today and will be representing the USD value of a Bitcoin based upon the value it actually trades at on selected Bitcoin exchanges, which has been evaluated and approved to the high standards of the NYSE.

“Bitcoin values are quickly becoming a data point that our customers want to follow as they consider transacting, trading or investing with this emerging asset class,” said NYSE Group President Thomas Farley. “As a global index leader and administrator of ICE LIBOR, ICE Futures U.S. Dollar Index and many other notable benchmarks, we are pleased to bring transparency to this market. By combining our technology infrastructure with our expertise in index calculation and data management, we will continue to launch complementary products based on our rigorous standards and proprietary index methodology.”

The NYSE Bitcoin index will initially receive its data from Coinbase, one of the leading online Bitcoin exchanges in the US and the world, where NYSE made an investment earlier this year in a public funding round.

The NYSE Index Committee will be overseeing the rules and methodology behind the index to ensure that it actually reflects the value and the nature of the Bitcoin market. They will also be reviewing the data sources for the index calculation process when new exchanges that lives up to the high standards, rules, liquidity, transparency and governance are found and accepted as a “provider”.

The NYSE Bitcoin index is expected to grow significantly within a short period of time, being a product that many investors has been asking for. New features and indices will be introduced to the Bitcoin index over time, showing that they believe in the future of the Bitcoin.

The index has been dubbed “NYXBT” and will be the first of many indexes to be created, but no further information was given about the later indexes that will be launched.

This is huge news for the Bitcoin and for everyone who uses it for trading, purchasing or simply as a money transfer service. This gives a huge push in the right direction for mainstream adaption and with it being as secure as possible, it will show people the true value of the Bitcoin and give an incentive towards investing, buying or trading Bitcoins in the future.

“NYXBT utilizes a unique methodology that relies on rules-based logic to analyze a dataset of matched transactions and verify the integrity of the data to ultimately produce an objective and fair daily value for one bitcoin in U.S. Dollars as of 16:00 London time.” A press release from the NYSE reads.

Perhaps more stock exchanges around the world will integrate a similar index in the future, spreading the Bitcoin to more markets and thus increase the overall need for Bitcoins and push the value back to where it should be.

BetOnline Has Integrated Bitcoin As a Payment Method

Since the Bitcoin was launched and starting reaching the first tech crowds, it has been used for gambling. It started out with just a few dice sites, a poker site as well as a few other sort of casino sites, but it gradually grew to a multi-million industry when the Bitcoin increased in value over the course of three years.

What attracted the tech crowd to gamble with the Bitcoin was that it was anonymous, easy, secure and most of all fast. There was no need in having to keep the funds in the site as withdrawals could be paid within a matter of 30-45 minutes, allowing players to always keep their funds somewhere safe.

It took a few years, but gradually the established gambling industry began to see the benefits of the Bitcoin in the gambling market. The anonymity, the fast and cheap transactions, the security of the network  and the big market capitalization has made a big impression on many sites, especially those serving customers from the US.

BetOnline.ag has been one of the biggest bookmakers in the US for the past decade, having had to change their business model several times along the years due to new laws, restrictions and so on. A site operating in the US market will always have to pay a premium fee for any company who can help process payments, whether it is a deposit or a withdrawal, given that they can even find anyone to help them.

They offer not only betting on American sports, as well as rest-of-world events, they also offer their customers the chance to play a wide variety of casino games as well as battle other players from around the world in a game of poker.

Now they finally embraced the Bitcoin and all that is good about it and started to offer it to their customers. Not only has it been a success, it has been a massive success, as BetOnline can report that Bitcoin is now their second most used payment method after the traditional credit card and it’s moving closer and closer.

When you make a deposit with Bitcoins to BetOnline, the Bitcoins will be converted into $ at the exchange rate that they provide on the screen. The exchange rate is an average rate taken from several different exchange sites, to provide a fair exchange for the users. The minimum deposit amount in Bitcoins is equivalent to $20, while users can withdraw a maximum of $2,000 per day in Bitcoins.

While deposits are almost instantly credited to your account, withdrawals may take a little longer due to the fact that they need to have time to process it from their end. Usually it will take around 48 hours, which is industry standard for sites who doesn’t only deal in Bitcoins.

BetOnline is far from the first US-facing site to integrate Bitcoins as a payment method, but they are amongst the biggest to do so. It marks an interesting time in the gambling industry, as the Americans has found a cheap, reliable and anonymous way to gamble online without being worried about the banks reporting them, while the sites don’t have to look over their backs to see if the DOJ is watching.

Due to the popularity the Bitcoin is currently experiencing in the US for the gambling industry, it is natural to believe that many will begin using their coins to pay for other things, both online and offline. This could lead to an increase in revenues for the Bitcoin accepting stores and thus attract more companies to accept it. Gambling may be leading the way for more mainstream Bitcoin acceptance and perhaps it can help the value increase over time.