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Nasdaq CEO Says It Is Not Closed To Opening Cryptocurrency Exchange In The Future


04/25/2018


Nasdaq CEO Says It Is Not Closed To Opening Cryptocurrency Exchange In The Future
According to the head of the exchange operator Nasdaq Inc, the organization has not closed its doors to the idea of launching a cryptocurrency exchange sometime in the future with the evolving of the regulatory environment for cryptocurrencies.
 
After reporting better-than-expected quarterly earnings, Nasdaq's Chief Executive Officer, Adena Friedman, said in an interview that opinion of many that the virtual currencies like bitcoin would be the answer in the future to support trade and commerce is becoming stronger and is being accepted to into the financial mainstream.
 
However, there is very little regulatory control over the cryptocurrencies. But Friedman said that there needs to be more regulatory control over cryptocurrencies even though the very lack of it is  a major reason for getting into virtual currencies and its trading for many of the early adopters.
 
“Over time, if it ultimately does morph into a regulated environment, it does give us an opportunity to participate as a marketplace, but I think that is a longer road and it doesn’t have a certain path right now,” she said.
 
She said that in the meantime, Nasdaq wants to provide market infrastructure technology for trading and clearing for virtual currencies and the exchange is in deliberations with a number of virtual currency exchanges and are exploring possible deals with them.
 
Nasdaq has entered into an agreement with Gemini Trust Company and will provide the exchange services of monitoring of trading in crypto currencies on the exchange and help in identification and prevention of possible fraud and market manipulation, Nasdaq announced on Wednesday.
 
A volatility-driven spike in trading volumes has driven the net income of Nasdaq to rise from $168 million to touch $177 million, in the first quarter which equates to a value of $1.05 per share compared to 99 cents per share in the same period a year earlier,
 
According to Thomson Reuters I/B/E/S, average estimates of analysts was topped by the transatlantic exchange operator by four cents as it earned $1.24 per share after accommodating for special items, such as merger and acquisitions costs.
 
Global equities, bonds, currencies and commodities markets were hit by a volatility in the current year which spiked in February and that trend had remained unchanged till the end of march. 2017 was a relatively calm period for the global markets.
 
There was a 14.6 per cent rise in the revenues of Nasdaq which touched $666 million. There was a rise 21 percent in the revenues generated from the market services, the company’s largest business, to touch $735 million.
 
There was growth in revenues from the non-trading related businesses of Nasdaq. There was 7.7 per cent rise in its revenues from its market technology unit at $70 million, and revenue from information services up 26 percent at $174 million.
 
(Source:www.reuters.com)