Crypto Asset Manager LedgerX Launches Bitcoin Volatility Index

Published at: Jan. 14, 2019

LedgerX has launched its first Bitcoin (BTC) price volatility index. The launch of LedgerX Volatility Index (LXVX) was revealed to Cointelegraph by the company’s spokesperson on Jan. 14.

LedgerX is a cryptocurrency asset manager regulated by the United States Commodity Futures Trading Commission (CFTC). The official press release shared with Cointelegraph explains how the index is formed:

“The LXVX incorporates the level of fear and uncertainty in the bitcoin market, and thus can be thought of as the "bitcoin fear index," in the same way the VIX is commonly referred to as a stock market fear index by market commentators.”

According to the press release, the company will draw the data for LXVX from the Bitcoin options product that it already offers to its customers.

LedgerX’s COO Juthica Chou has said that the new index can help traders and investors monitor risk. Chou also noted that LXVX is currently down by about 20 percent from the beginning of the year.

While LXVX isn’t a tradeable product as of right now, making it one is reportedly part of the company’s plans for the future.

As Cointelegraph reported in May 2018, LedgerX has launched the first ever CFTC-licensed Bitcoin savings product.

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