SolidX Partners has selected TradeBlock’s XBX Index as the reference rate for the SolidX Bitcoin Trust, a proposed exchange traded fund (ETF) based on the price of bitcoin. The registration statement can be accessed publicly via the Securities and Exchange Commission (SEC) site.
The SolidX Bitcoin Trust will utilize the XBX Index price to determine the daily net asset value (NAV), providing all stakeholders with an accurate and reliable benchmark for the price of bitcoin. Once approved, shares of the trust will be listed and traded on NYSE Arca, which is also the exchange for the world’s largest gold ETF, the SPDR Gold Trust (GLD).
TradeBlock’s XBX Index, the world’s leading institutional reference rate for the price of bitcoin, is uniquely designed to serve the needs of ETF providers and traders. The index value is a live rate that is calculated once per second based on observed trading activity on leading bitcoin exchanges. The XBX Index weighs the most liquid exchanges more heavily to maximize replicability of the index rate in live spot markets, while also algorithmically discounting price deviations caused by market anomalies and manipulation attempts in real time. Importantly, the calculation methodology and governance protocol for the XBX Index are based on the IOSCO Principles for Financial Benchmarks, further ensuring the reliability and unbiased nature of the reference rate. Over $100M of derivative assets currently rely on XBX as the benchmark reference rate.
Today’s announcement continues the accelerating adoption trend of TradeBlock’s XBX Index. The Index serves as the reference rate for Grayscale’s Bitcoin Investment Trust, the world’s first publicly-traded bitcoin investment vehicle; Chainalysis, a provider of compliance tools and services; Rebit.ph a bitcoin-based remittance provider; BitGo, a bitcoin wallet provider; several cash-to-bitcoin ATM network operators; private funds and software companies, and as the benchmark rate for thousands of bitcoin in daily over-the-counter spot trading on the TradeBlock Professional platform.
SolidX Partners provides blockchain-based software solutions relating to the indelible recording of digital records, transfer of assets, and identity. SolidX also has a capital markets arm that has filed a Form S-1 registration statement for a proposed launch of a bitcoin exchange traded fund.
For further information about the TradeBlock XBX Index, please see our tools at https://tradeblock.com/markets/index.