Join Our Mailing List
Saturday February 04, 2023
Bitcoin (BTC) $23,501.30   Ethereum (ETH) $1,683.90
  • Events
  • News
    • Blockchain Technology
    • Capital Raising
    • Crypto Exchanges
    • Crypto Payments
    • Gaming & Betting
    • Investment Management
    • M&A
    • Mining
    • Networks & Protocols
    • Security
    • Vendor Technology
    • Wallets
Trezor Model T
CryptoNinjas
  • Crypto & Blockchain Links
  • Real-Time Market Data
  • Bitcoin ATM Map
  • Token Offerings/Listings
No Result
View All Result
CryptoNinjas
Home Featured

OKCoin removed as constituent of TradeBlock’s bitcoin price index

Published by CryptoNinjas.net
02/17/2017

TradeBlock, a leading New York-based provider of institutional trading tools for digital currencies, today announced that major Chinese cryptocurrency exchange OKCoin will no longer be included as a constituent of the TradeBlock XBX Index.

The algo underlying the index already automatically reduced the weighting of OKCoin to near-zero based on recent market anomalies, minimizing the impact of OKCoin’s removal on any trading based on XBX.

As the crypto world knows, back on February 9th of this month OKCoin announced the suspension of bitcoin withdrawals from its exchange. This measure came as the People’s Bank of China has become increasingly involved in the activities of Chinese bitcoin exchanges over the last month.

OKCoin said that the suspension, planned for one month, will allow them to improve their anti-money laundering practices and their systems in order to prevent various types of illegal activities.

The announcement, which was followed by similar ones from other notable Chinese exchanges, caused the price of bitcoin to fall considerably across all major bitcoin exchanges in the succeeding hours.

The following chart displays the effect that the announcement had on the bitcoin price as tracked by TradeBlock’s XBX index:

TradeBlock’s XBX index is designed to provide a reliable reference rate at all times without the need for human intervention by reacting to anomalies in real-time. As seen in this second chart below, XBX performed as expected by de-weighting OKCoin – from 10-20% normally to <0.1% recently – as its price trailed off from the rest of the cohort. As designed, the XBX index continued to offer a reliable reference rate for the price of bitcoin, even during a period of irregular activity.

Although the XBX algorithm mitigated the need for manual intervention, TradeBlock stated it is necessary to take into consideration its established criteria for exchange eligibility. An exchange with severe limitations does not form part of an accurate reference to the market price of bitcoin.

The XBX index provides an institutional, USD-denominated reference rate for the price of bitcoin. The XBX index tracks liquidity across individual exchanges and weights them according to their volume, price variance, and trading frequency. It also monitors and adjusts for deviations caused by anomalies and manipulation attempts.

The inclusion of any exchange in the index is guided by IOSCO principles for financial benchmarks.

More specifically, TradeBlock looks at the following criteria:

– A liquid market in the XBT / USD cross
– No restrictions on deposits and withdrawals of bitcoin and fiat currencies
– Reliable, real-time trade prices and volume accessible via API
– A publicly known ownership entity
– Compliance with relevant regulations

Although the XBX algorithm functioned as intended and mitigated the need for manual intervention, the sustained breach of a core principle for inclusion in the index warranted an exceptional review process says TradeBlock.

As such, OKCoin will be removed as a constituent of the XBX index over the next 24 hours. During the next XBX quarterly review in April, OKCoin’s eligibility will be reevaluated along with that of all relevant exchanges that could potentially qualify for inclusion under TradeBlock’s guidelines.

FacebookTwitterLinkedinRedditE-MailTelegram

Related News

Apifiny rollsout new crypto algo trading library with Okcoin as partner

06/07/2022
Apifiny rollsout new crypto algo trading library with Okcoin as partner

Apifiny, a cross-exchange digital asset trading network, today announced the launch of Apifiny Algo, an advanced crypto trading library in C++ for High-Frequency Trading (HFT) and latency-sensitive traders. The trading library is being rolled...

Read more

ErisX market data now available on crypto analytics platform TradeBlock

12/08/2020
ErisX market data now available on crypto analytics platform TradeBlock

ErisX, a platform to access crypto spot and futures markets, has partnered with TradeBlock, a provider of digital currency trading tools, analytics, and indexes, to publish its spot market data. "It is critical for...

Read more

OKCoin Japan named a Virtual Currency Exchange Service Provider

03/30/2020
OKCoin Japan named a Virtual Currency Exchange Service Provider

OKCoin, a fiat-cryptocurrency exchange with service in 184 countries, announced today the completion of its registration with the Kanto Local Finance Bureau as a Virtual Currency Exchange Service Provider based on Japan’s Payment Services...

Read more

TradeBlock updates constituents on all cryptocurrency indices

01/07/2020
TradeBlock updates constituents on all cryptocurrency indices

TradeBlock, a provider of institutional trading tools for digital currencies, has announced that starting on Saturday, January 18th, the company will be updating the constituents on all of its cryptocurrency indices. The process will...

Read more
Load More
Leave Comment

Where to Exchange

Leading crypto suite in Spain & LATAM Visit
European bitcoin exchange Visit
Swap & buy 150+ cryptocurrencies Visit
First U.S. regulated BTC exchange Visit
  • Trending
  • Latest
Trust Wallet launches anticipated browser extension of its crypto management app

Trust Wallet launches anticipated browser extension of its crypto management app

11/14/2022
ETH infrastructure platform Blocknative adds TX bundles, cancellation, and replacement support

ETH infrastructure platform Blocknative adds TX bundles, cancellation, and replacement support

02/02/2023
Crypto derivatives exchange Deribit to put in place trade surveillance platform from Eventus

Crypto derivatives exchange Deribit to put in place trade surveillance platform from Eventus

01/24/2023
Where Exactly Can You Spend Monero Cryptocurrency?

Where Exactly Can You Spend Monero Cryptocurrency?

10/20/2021
ETH infrastructure platform Blocknative adds TX bundles, cancellation, and replacement support

ETH infrastructure platform Blocknative adds TX bundles, cancellation, and replacement support

02/02/2023
Crypto derivatives exchange Deribit to put in place trade surveillance platform from Eventus

Crypto derivatives exchange Deribit to put in place trade surveillance platform from Eventus

01/24/2023
Crypto exchange Gemini launches new electronic OTC trading solution

Crypto exchange Gemini launches new electronic OTC trading solution

01/19/2023
Crypto securitization platform-GenTwo links to all Coinbase assets

Crypto securitization platform GenTwo links to all Coinbase assets

01/14/2023
  • Home
  • Directory
  • Data
  • About
  • Contact
SUBSCRIBE

© 2016 - 2023 CryptoNinjas Disclosures | Privacy Policy

  • Home
  • Crypto Links
  • Market Data
  • Blockchain Tech
  • Exchanges
  • Capital Raising
  • Vendor Technology
  • Token Offerings/Listings
  • Payments
  • Wallets
  • Bitcoin ATM Map
  • Conferences & Events
  • About
  • Contact
No Result
View All Result

© 2016 - 2023 CryptoNinjas Disclosures | Privacy Policy