SGX to launch crypto indices with CryptoCompare partnership

Singapore Exchange (SGX) is collaborating with UK-based cryptocurrency market data provider CryptoCompare to launch crypto indices under the SGX iEdge index suite.

According to research data by CryptoCompare, the total assets under management (AUM) globally of digital asset tracker funds rose from US$220 million in March 2017 to over US$4.5 billion by June 2020, representing a compound annual growth rate of 148%.

While much of the AUM is currently captured by asset managers based in the United States and EMEA region, Asia is well-positioned to raise its share of this global AUM given that Asian fiat-crypto trading pairs now account for 43% of total global spot volumes.

Through technology, data and strategic partnerships, SGX Index Edge has in the past four years, built up a wide array of indices for its clients covering thematic investing, smart beta, futures, fixed income and multi-asset solutions with crypto indices now as the latest addition.

The iEdge Bitcoin Index and iEdge Ethereum Index will be the first batch of crypto indices to be launched.

“Digital assets are increasingly being adopted by investors. We are excited about this collaboration with CryptoCompare to offer a suite of new indices for market participants in Asia, reinforcing our endeavour to innovate and meet market needs,” said Simon Karaban, Head of Index Services at SGX.

“Our mission is to bring greater transparency to the digital asset class by providing high quality, trusted data and indices. We are delighted to work in partnership with SGX to offer greater global access to institutional-grade digital assets products on Asia’s leading multi-asset exchange,” said James Harris, Commercial Director of CryptoCompare.