Huobi Pro is establishing a new cryptocurrency market index for its valuable customers. The previously Beijing based Huobi Group was founded in September 2013, and as a part of its development strategy, the organization established Huobi Pro Exchange. The exchange platform has gained a lot of prominence since then. The organization moved the exchange to headquarters in Singapore as the Chinese Government started banning ICOs and cryptocurrency exchanges. The Huobi Pro technology is multi-platform accessible, with support for all functions, which has helped make it an attractive option.
Huobi Pro had identified a need in the cryptocurrency exchange market for a clear market index, which would assist investors and cryptocurrency fund managers. As mentioned in a press release, the Huobi 10 Index will track the activity of 10 of the most highly traded digital assets, through the current USDT arrangements. The index will not only choose these blockchain assets based on activity but also requires the selected assets to have high capitalization and market value levels, as well as strong liquidity. As per the sources, the assets will be divided into four categories: platform, real asset substitute, digital asset, and application.
This will give further clarity on market activity to the users of the Huobi Pro Exchange. As per the sources the company advised, “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.”
Now, it is possible for investors to track a single feed in real time, showing market trends as they develop. The introduction of a functioning cryptocurrency index indicates that the cryptocurrency market has achieved a level of maturity. It is seeking to further build credibility and visibility through matching other market indices currently in use. Huobi Pro has indicated that there will be further developments with potential for the release of additional indices in the future.
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