CoinDesk Indices, a subsidiary of CoinDesk, introduced the CoinDesk 80 Index to meet the growing institutional demand for liquidity across various digital assets.
The new offering is designed to track the performance of the next 80 digital assets beyond the CoinDesk20 Index, according to a press release. The bullish exchange, which has surpassed $1 trillion in cumulative trading volume since its inception in November 2021, listed a perpetual futures contract linked to the new index under the ticker CD80/USDC-PERP. Bullish is the parent company of CoinDesk.
The index currently counts crypto market makers GSR and STS Digital among its clients. “We are excited about the broader opportunity this brings to increase liquidity, strengthen informed trading strategies, and continue the maturation of the crypto ecosystem,” Jon Loflin, chief investment officer at GSR, told CoinDesk.
With growing demand from institutional investors for digital asset derivatives markets, the new index will provide traders with broader market exposure in the altcoin sector. “The CoinDesk 80 Index Perpetual Future will enable us to effectively manage market exposure arising from our extensive offering of altcoin options to our clients. This is another innovative product from Bullish, enhancing their strong product line-up and advancing index derivatives,” Maxime Seiler, CEO of STS Digital Ltd, said.
Key features of the CoinDesk 80 Index include a focus on liquid and broad market assets, with minimal exclusions for stablecoins and wrapped tokens as well as comprehensive liquidity monitoring. Index components are weighted by market capitalization, with a cap of 5% per asset to ensure diversification.
“Demand for index products is increasing as digital assets become a fixture in global financial markets,” said Tom Farley, CEO of Bullish. “We are excited to launch the CoinDesk 80 Index Perpetual Futures contract on our platform, leveraging our tight spreads, deep liquidity and strong regulatory framework to support market participants.”
A year ago, CoinDesk Indices launched the CoinDesk20 Index, a benchmark for larger-cap digital assets. Since then, its total trading volume has reached over $12 billion and is linked to a dozen investment products worldwide.
