Dow Jones takes a ‘Wait and See approach’ with Cryptocurrencies
S&P CEO has stated that the company will take a ‘wait and see approach' to adding Cryptocurrency indexes
The SEC and CFTC are undergoing talks over the future status of cryptos as their own class, or a form of security
The S&P Dow Jones has decided against the introduction of cryptocurrency indexes as it takes a ‘wait and see' approach towards them.
Cryptocurrencies have gained a massive following over the years, with an increasing number of the population taking a direct and indirect interest in them. But while the number of people extracting, buying and selling them has increased, the Dow has no plans on introducing them yet.
In an interview, the CEO of S&P, Alex Matturri has put the credibility and reputation of his organisation ahead of coming forward with crypto indexes too quickly.
“We have a reputation, we’ve been around a lot of years, and we’re not going to tarnish our reputation over just creating a new product idea… clearly there is a demand — that’s something worthwhile to keep an eye on.”
The decision comes at a time when the SEC and CFTC enter talks over the future status of cryptocurrencies. Precisely due to some ICOs and cryptocurrency investments which have left investors at significant risk.
Matturri is demonstrating a cautious attitude towards cryptocurrencies; seeing the potential applications for blockchain technology, preventing him from swatting down future indexes and futures for cryptos.
“It’s still got a ways to go before it’s kind of in the mainstream, more legitimized,” Matturri said. “But it could happen quickly. Technology is much more disruptive today than it ever was.”
Currently, blockchain has been used to the benefit of technologies both domestic and commercial. But its past history and current market volatility are factors which prevent it from being regarded as a legitimate investment.