New Cryptocurrency Index Launched by Nomura Research Institute and Intelligence Unit

Revolutionizing Crypto Investments

The financial world is buzzing as the renowned Nomura Research Institute (NRI) joins forces with Intelligence Unit (IU) to introduce a new player in the crypto landscape: the NRI/IU Crypto-Asset Index. This index, unveiled on January 29, aims to cater to financial institutions eager to delve into the volatile world of cryptocurrencies.

What’s the Buzz About this Index?

This isn’t just any index; it’s curated to serve those luxurious Japanese institutional investors. By incorporating data from crypto index trailblazer MVIS and the well-respected CryptoCompare, the NRI/IU Crypto-Asset Index promises to paint an accurate picture of global crypto market trends, all while valuing assets in both U.S. dollars and Japanese yen.

Tracking the Titans of Crypto

So what does this new index actually track? It’s rather simple yet profound. The NRI/IU Crypto-Asset Index will monitor five of the biggest contenders in the cryptocurrency arena:

• Bitcoin (BTC)
• Bitcoin Cash (BCH)
• Ether (ETH)
• Litecoin (LTC)
• XRP

These assets are rebalanced monthly, ensuring that the index reflects the latest market sentiment and trends.

Performance That’s Hard to Ignore

According to their website, the index isn’t just stepping onto the scene untested. Backtested performance statistics showcase impressive returns: a jaw-dropping 33.91% year-to-date, an astonishing 104.86% in one year, and a mind-boggling 2,211.26% over three years. Whoever said crypto was dead clearly didn’t check their stats!

Why Now, and What’s Next?

As Akihiro Niimi, CEO of IU, points out, there’s a strong tide of demand from institutional investors. With crypto-asset funds sprouting like weeds in spring, well-structured financial products like this new crypto index serve as appealing alternative investments. It seems that Wall Street has finally stopped taking selfies with doge memes and is ready to get serious about digital currencies.

The Rise of Crypto Derivatives

But wait, there’s more! As NRI dives headfirst into the depths of cryptocurrency, they’re not stopping at just an index. The trend is seeing a rise in crypto derivatives as well. While companies like Amun AG are launching products to give investors more ways to play with Bitcoin prices, just a month in, Bakkt’s Bitcoin options contracts appear to be experiencing a bit of a hiccup. Apparently, the road to cryptocurrency derivatives can be as bumpy as a ride on a mechanical bull at a county fair.

Conclusion

So, whether you’re an institutional investor or just the curious crypto bystander, the arrival of the NRI/IU Crypto-Asset Index signifies a shiny new tool for dipping your toes into the swirling waters of cryptocurrency investments. With its focus on both the stability and volatility of major crypto assets, it’s sure to attract attention. Just keep your life jacket nearby; it’s bound to be a wild ride!