Stock Exchanges Are Beginning to Take Bitcoin Seriously

SUBMITTED BY: Guest

DATE: June 8, 2015, 12:02 p.m.

FORMAT: Text only

SIZE: 9.3 kB

Raw Download

HITS: 819

Report
  1. Bloomberg the Company & Products Bloomberg Anywhere Login
  2. Bloomberg
  3. Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world.
  5. Company
  6. Careers
  7. Diversity & Inclusion
  8. Philanthropy & Engagement
  9. Sustainability
  10. Technology
  11. History & Facts
  13. Financial Products
  14. Bloomberg Professional
  15. Bloomberg Tradebook
  16. Bloomberg Briefs
  17. Bloomberg Indexes
  18. Bloomberg SEF
  19. Bloomberg Institute
  20. Service Center
  21. Downloads
  23. Enterprise Products
  24. Enterprise Solutions
  25. Trading Solutions
  26. Bloomberg Vault
  28. Media
  29. Bloomberg Business
  30. Bloomberg Politics
  31. Bloomberg View
  32. Bloomberg Television
  33. Bloomberg Radio
  34. Bloomberg Mobile Apps
  35. News Bureaus
  37. Customer Support
  38. Americas
  39. +1 212 318 2000
  40. Europe, Middle East, & Africa
  41. +44 20 7330 7500
  42. Asia Pacific
  43. +65 6212 1000
  45. Communications
  46. Press Announcements
  47. Press Contacts
  49. Industry Products
  50. Bloomberg Government
  51. Bloomberg Law/BNA
  52. Bloomberg Big Law
  53. Bloomberg New Energy Finance
  55. Media Services
  56. Advertising
  57. Bloomberg Content Service
  58. Bloomberg Live Conferences
  60. Follow Us
  61. Facebook
  62. Twitter
  63. LinkedIn
  64. Instagram
  65. Menu Search
  66. Photographer: George Frey/Getty Images
  67. Stock Exchanges Are Beginning to Take Bitcoin Seriously
  68. by Olga Kharif
  69. March 25, 2015 — 1:48 AM WIB
  70. Share on FacebookShare on Twitter
  71. Share on Facebook
  72. Share on Twitter
  73. (Bloomberg) -- The biggest U.S. stock exchange operators are taking steps to embrace bitcoin, spurring speculation the digital currency is coming up from underground.
  74. Nasdaq OMX Group Inc. revealed Tuesday that New York-based Noble Markets, a platform for trading bitcoin, has agreed to license Nasdaq’s X-stream technology. Noble is adopting the same software used by securities exchanges around the world, and a related system runs the Nasdaq Stock Market, one of the biggest equity exchanges. The news follows the New York Stock Exchange’s January agreement to invest in Coinbase, another platform for trading the digital currency.
  75. Markets for buying and selling bitcoin took a reputational hit when one of the biggest, Mt. Gox, failed in 2014. Mt. Gox filed for bankruptcy after discovering it had lost bitcoins belonging to customers and itself. Deploying Nasdaq’s software could give Noble greater legitimacy.
  76. “It is a vote of confidence in bitcoin the technology,” Nicholas Colas, chief market strategist at Convergex Group, said in an interview. “Now that you are seeing big organizations providing technology, there’s a feeling that bitcoin is here to stay.”
  77. While some bitcoin startups have recently built their own trading technology, Nasdaq’s system has been battle-tested for years. Nasdaq provides trading software to companies including Japan Exchange Group Inc. and Singapore Exchange Ltd., which are among the biggest market operators in the world.
  78. Other Exchanges
  79. “Nasdaq is open to providing its technology to other bitcoin exchanges,” Ryan Wells, a Nasdaq spokesman, said during an interview.
  80. Noble was founded by John Betts, whose resume features stints at Goldman Sachs Group Inc., Morgan Stanley and UBS Group AG. Betts said his finance career included designing trading systems. His time working for the giants of finance may be a sign of maturation for bitcoin, and contrasts with Mt. Gox, which was originally envisioned as a place to buy and sell playing cards for the game Magic: The Gathering.
  81. Nasdaq’s involvement is a good sign, according to Adam Draper, a venture capitalist at Boost VC who invests in bitcoin startups.
  82. It “obviously shows that they think bitcoin is here to stay,” he wrote in an e-mail, referring to Nasdaq.
  83. To contact the reporter on this story: Olga Kharif in Portland at okharif@bloomberg.net
  84. To contact the editors responsible for this story: Nick Baker at nbaker7@bloomberg.net; Cecile Daurat at cdaurat@bloomberg.net Reed Stevenson
  85. Bitcoin NASDAQ Software New York Currency Career
  86. by TaboolaSponsored LinksFrom The Web
  87. How an Ex-Accountant Became a Millionaire Before Turning 30
  88. AceProfits Academy
  89. Chinese Shadow Banking: Understanding KRIs and Risk Scenarios
  90. Thomson Reuters
  91. High-Performance, Huge Capacity Storage Devices
  92. ZDNet
  93. Top 50 Best Universities in Asia - Number 2 is a Complete Surprise
  94. Listabuzz
  95. Why is China’s Economy Slowing?
  96. The Financialist by Credit Suisse
  97. Say Goodbye To Snoring With This Cool Trick
  98. My Snoring Solution
  100. If You Think Greece’s Crisis Will End Soon, Think Again
  101. by Ian WishartNikos ChrysolorasAndrew Mayeda
  102. June 8, 2015 — 5:01 AM WIB Updated on June 8, 2015 — 2:38 PM WIB
  103. Share on FacebookShare on Twitter
  104. What Next for Greece?
  105. Share on Facebook
  106. Share on Twitter
  107. Frustrated by Greece’s cat and mouse game with its creditors? Get used to it.
  108. Even if Prime Minister Alexis Tsipras clinches as much as 7.2 billion euros ($8 billion) from a bailout tranche creditors are withholding, he’s going to need another cash infusion shortly thereafter.
  109. What will ensue is a renewed battle after almost five months of trench warfare. The beleaguered country requires a third bailout of about 30 billion euros, according to Nomura International Plc analysts Lefteris Farmakis and Dimitris Drakopoulos. The final bill will depend on whether fellow euro member states grant Greece any debt relief, and what form that relief would take, they said.
  110. Tsipras says any aid must be on his terms rather than those of governments whose taxpayers have forked out billions in the past five years to keep Greece in the euro. The standoff has triggered an unprecedented liquidity squeeze, pushing the country’s economy back into recession, and thus raising the total sum of additional loans Greece may need after its current euro-area-backed bailout expires this month.
  111. “Any plausible deal at this stage is unlikely to do enough and it’s unlikely to be the end of the matter,” said Simon Tilford, deputy director of the Centre for European Reform in London. “This could just play out again and again.”
  112. Bailout Saga
  113. The latest episode in the five-year saga has focused on releasing the final tranche of Greece’s second bailout. The amount at stake roughly equals the bond repayments that Greece needs to make to the ECB in July and August.
  114. Here’s the problem for the policy makers struggling to avoid a default in Athens: Even if Greece muddles through until August, it faces a financing shortfall of about 25 billion euros through the end of 2016. That’s likely to worsen as the economy slides deeper into recession and tax revenue shrivels.
  115. Tsipras, 40, faced a united front from Group of Seven leaders at the weekend, with U.S. President Barack Obama putting concerns over the impasse onto the agenda of a summit hosted by German Chancellor Angela Merkel.
  116. There was another tense exchange between both sides, with Tsipras telling the Greek Parliament on Friday the latest offer from creditors was unacceptable and he hoped it was just a “bad negotiating trick.” European Commission President Jean-Claude Juncker, who met Tsipras last week, said the prime minister had misrepresented aspects of the talks and he should observe some basic rules to maintain good relations.
  117. Divisive Debt
  118. Negotiations over a third bailout would give Tsipras an opportunity to push the key demands -- debt relief and more generous pensions -- that propelled him to power in January and that have isolated him in the euro area.
  119. Then there are the fractures on each side of the negotiating table. Among creditors, the International Monetary Fund says Greece’s financial burden may be unsustainable; the EU says it needs to honor its commitments.
  120. On the Greek side, Tsipras’s Syriza coalition is plagued by infighting over possible concessions, differences that may ultimately force him to call new elections.
  121. IMF Wildcard
  122. Another potential wildcard with any agreement with creditors is whether the IMF coughs up its portion of the existing bailout.
  123. The IMF typically requires countries to have enough financing to get them through at least a year, before disbursing any loans. IMF staff also analyze whether debt is sustainable over the medium term. The IMF believes Greece needs to establish a credible target for a budget surplus backed by changes to pensions and other reforms, an official involved in G-7 talks said in Dresden last week.
  124. “The dependence on our creditors will remain for two years in the best-case scenario,” said Aristides Hatzis, associate professor of law and economics at the University of Athens. “Greece is going to need cheap loans for the next two years.”
  125. Read this next:
  126. Greece Faces Diplomatic Push
  127. QuickTake: Greece’s Fiscal Odyssey
  128. Greece Debt Euro Athens London Tax Revenue Elections Budget Surplus Law Economics
  129. Terms of Service Trademarks Privacy Policy
  130. ©2015 Bloomberg L.P. All Rights Reserved
  131. Careers Made in NYC Advertise Ad Choices
  132. Website Feedback Help
comments powered by Disqus