BNC builds industry benchmarks and custom-built indices for tracking crypto-currencies and other digital assets. Whether you require entero market catches sight of for price discovery, custom-made indices to power exchange traded products or reference rates for show attribution, BNC has an index solution to meet your needs.
Bitcoin Liquid Index
BNC has developed the Bitcoin Liquid Index (BLX) to meet the marketplace requirement for a single, reliable and fair USD price for Bitcoin — based on live real-world trading activity. The index is designed to report a market price at which liquidity could come in or uitgang a Bitcoin position. The BLX captures a comprehensive, general sample of liquidity on the highest volume and quality exchanges. Ideal for settlements and accurate spot pricing, the BLX API includes 30 2nd Intra-Day pricing, End-of-Day OHLCV and Time & Volume-Weighted-Averages.
BNC accesses numerous API outputs from each constituent exchange and captures te positivo time:
- Individual trade ID
- Exchange ID
- Trade Price ter Fiat (USD or EUR)
- Trade volume (ter BTC)
- Orderbook Depth (both sides)
The Plucky Fresh Coin Bitcoin Liquid Index
The BNC BLX represents the fair value of Bitcoin, spil based on trade and order book gegevens sourced from the world’s most trusted and liquid trading platforms
Every 30 seconds
Available retrospectively to July 2010
Published with 8 Decimals
Methodology & Constituent Exchange Qualifiers
The BLX sources gegevens from only the most liquid exchanges by volume and order-book depth. Given that exchanges are third-party organizations operating ter a volatile and competitive marketplace, BNC reviews its constituent mix and index methodology every quarter to ensure the quality of its indices.
For a constituent exchange to be included te the BLX it voorwaarde meet the following qualifying criteria:
- Opoffering fully automated trading of Bitcoin with volume, depth and consistency of transactions.
- Charge transaction fees.
- Provide a stable API with options for on-going, live, utter trade gegevens capture.
- Exhibit a track record of uninterrupted customer deposits/withdrawals.
- Display compliance with applicable regulations ter its operating jurisdiction.
- Be AML/KYC compliant.
- Maintain orderly market conditions at all times.
- Maintain a top Ten position spil a liquidity source te respective trading pairs overheen the preceding quarter.
BNC has set its ondergrens number of constituent exchanges for index compilation at six. This ensures effective gegevens redundancy and uncompromised index quality.
The following exchanges contribute reliable, real-time, public market gegevens to BNC and have met the BLX constituency requirements for index entry.
BNC’s BLX is constructed using pricing gegevens from contemporáneo trades and exchange order books. Real-time trade gegevens is captured, for-matted and then scrubbed for outlier transactions. Anomalous transactions are tagged and stored but have no influence overheen the index calculation. The constituent order books are also sampled, both bid and ask, to establish the depth of liquidity.
The BLX calculates a USD price point for Bitcoin at tick intervals of 30 seconds. After gegevens filtering, the volume weighted price for each constituent is obtained from the set of trades ter each tick. For non-USD constituents this is converted to USD at the rate applicable at the time [source: OpenExchangeRates.com].
The constituent USD prices are then weighted according to three variables:
- Moving total trade volume
- Order book depth
- Constituent historical spectacle
This delegado weighting ensures the index is responsive to unexpected market movements, while also limiting the influence of outlier transactions and market interruption events. The result is a superior index reporting legitimate Bitcoin trading activity globally.
While the weightings are adjusted algorithmically, there are a series of qualitative factors that are applied on top of the quantitative method. The-se are reviewed every three months. The vertoning of each constituent through the previous period is analysed and ranked. Ranking factors include:
- Daily media transaction volume
- Daily media number of trades
- Daily promedio order book depth
- Daily media tick presence
Extra consideration is also given to an exchange’s response to any security breaches and whether it has bot subject to any independent audit during the review period.