Cryptocurrencies are gaining more mainstream recognition as the S&P Dow Jones Indices (S&P DJI), one of the world’s leading index providers, announces that it will track a collection of over 240 cryptocurrencies with its own new cryptocurrency index.
The new index, dubbed the S&P Cryptocurrency Broad Digital Market (BDM) Index, will provide a snapshot of the broader cryptocurrency market’s performance.
The BDM is the latest expansion of the S&P DJI’s recently created collection of digital asset performance trackers, dubbed the “S&P Digital Market Indices.” The BDM contains four subset indices that track various components of the crypto market, including the performance of top cryptocurrencies with large market caps, as well as overall market performance excluding the top digital assets like Bitcoin and Ethereum.
These four subset indices are called the S&P Cryptocurrency LargeCap Index, BDM Ex-MegaCap Index, BDM Ex-LargeCap Index, and the LargeCap Ex-MegaCap Index.
Crypto data provider Lukka is partnering with S&P to determine eligibility and pricing of individual components of the indices.
Peter Roffman, global head of innovation and strategy at S&P DJI, adds,
“For more than a century, our indices have offered insight into how the markets are performing. Now, with the introduction of the S&P Cryptocurrency Broad Digital Market Index, we’re providing that answer to cryptocurrency investors.
The expansion of our Digital Market Indices family gives one of the broadest snapshots yet of this rapidly growing asset class with the ability to slice and dice by market cap. We’re excited to bring this significant level of additional transparency to the cryptocurrency market.”