Cryptocurrency Index Launched By Huobi Pro Exchangebr>
Crypto exchange Huobi Pro has launched a new market index that will track 10 popular cryptocurrencies that are traded against USDT.
Huobi Pro, which offers crypto traders worldwide access to more than 100 digital assets, said that the purpose of its “Huobi 10 Index” is to accurately reflect the market performance of US Dollar Tether (USDT) pairs on its platform. The index will select ten large scale cryptocurrencies with high market capitalization and strong liquidity. It will allow investors to see a single aggregated feed rather than having to check on individual assets one at a time.
“The digital assets are classified into four categories: Coins, Platforms, Applications and Utility Asset tokens,” the comppany said. “The number of constituents selected in these four categories depends on their transaction volume of last quarter. After deciding the allocation of constituents into each of the four categories, the average daily trading volume in the previous quarter is used to decide the weight of the constituent in the index.”
The company said the Huobi 10 Index will be published in global financial communications agencies such as Bloomberg at a later date. It also plans to launch new financial products based on this index next month.
“In the pipelines, there are big plans set for the Huobi 10 Index. Working towards the timeline of June 2018, Huobi Group is looking to launch another financial product, named “HB10,” the company said. “It will be launched based on the Huobi 10 Index. Future financial derivatives are planned to be released based on Huobi 10 Index.”
Huobi recently hired Chris Lee, the former CEO of Hong Kong-based crypto exchange OKEx, as its vice president of global business development. Lee will head the group’s global mergers and acquisitions strategy and supervise international development as the exchange moves towards global expansion.