One of the greatest struggles facing the cryptocurrency world is legitimization. Nasdaq Inc. believes that it can figure out how to overcome this hurdle and had a closed-door meeting to discuss the issue. The meeting took place in late July in Chicago and included representatives from around a half-dozen companies, ranging from crypto markets to traditional exchanges, including Gemini. The goal of the meeting was to encourage the crypto industry to take steps to improve its overall image and provide validation to its role in the global markets.
What Was Discussed
The specific details of conversation within the meeting are unknown, but someone familiar with the event talked to Bloomberg. They let the outlet know that one of the issues the group of companies discussed was what the implications are for future regulations involving cryptocurrency. They also discussed what surveillance is necessary and what tools are required.
The closed-door meeting from Nasdaq about cryptocurrency does not come as a surprise to anyone familiar with the exchange. After all, Adena Friedman, the Nasdaq chief executive officer, has repeatedly said that cryptocurrency needs regulation, and her firm even partners with multiple exchanges to accomplish that goal. An example would be Gemini exchange hiring Nasdaq for market surveillance of Ether and Bitcoin, plus the auction that aids with pricing Bitcoin futures for Cboe Global Markets Inc. Earlier in the week, Nasdaq also said it is providing five crypto exchanges with technology, including SBI Virtual Currencies and Gemini. In June, Friedman said that it is past time we discovered that cryptocurrencies provide a real utility.
More Discussion to Come
The insider who gave information on the meeting let Bloomberg know that no one in attendance assumed this would be the only meeting of its type. Instead, there will be a continuing dialogue between the involved parties. This is a positive change from the slow pace Wall Street has taken toward adopting cryptocurrency, a caution based on the history of theft, fraud, and illiquidity plus the fact that there are not custody services. Those in Wall Street who are hesitant to adopt cryptocurrency point at investigations, such as the criminal probe from the Justice Department into if traders manipulate the price of cryptocurrencies.
What This Means for Cryptocurrency
This closed-door meeting is excellent news for those involved in cryptocurrency. The involvement of Wall Street companies and traditional exchanges can help show that cryptocurrency is here to stay. It may also help crypto with overcoming some of the problems related to its reputation, such as the previously mentioned criminal probe. Since those in Wall Street, including Nasdaq and the other exchanges at the meeting, are seen as the top of the financial world, their approval will be a significant victory for cryptocurrency. Those in the crypto world and the traditional financial sector will be eagerly awaiting more news of this meeting and the future meetings, including plans made, how those plans are implemented, and their impact on the crypto industry.