LedgerX is a new financial industry startup based out of New York, the home of the upcoming BitLicense. Despite the overcast pall of incoming regulations, LedgerX seems prepared for any happenstance. The new group has raised venture funding from Lightspeed Ventures and Google Ventures. Lightspeed…
Google Ventures, on the other hand, has put money into Buttercoin and OpenCoin, the company behind Ripple, which some might argue until they’re blue in the face is the #2 cryptocurrency in existence. Series A funding came from Lightspeed Ventures in summer of 2014, and seed funding came from Google Ventures earlier in the year.
LedgerX hopes to be America’s first US Commodity Futures Trading Commission (CFTC) regulated Bitcoin futures exchange. Elsewhere in America, TeraExchange has already launched as America’s first regulated Bitcoin swaps exchange. LedgerX has many veterans of the financial industry as supporters. James Newsome is the former chairman of the CFTC and former CEO of the New York Mercantile Exchange. Now a director on LedgerX’s BOD, Newsome explained:
It’s no different than with corn farmers. They’ve got all this corn, the grain markets have been volatile. They could enter into hedging contracts knowing exactly what it’s worth, and not worrying about volatility. Newsome brings his lobbying firm, Delta Strategy Group, to bat for LedgerX. Besides Newsome, LedgerX has also retained Thomas Lewis, a former CEO of Ameritrade Holding Corp as a member of the BOD. Newsome left the WSJ with these words:
Whether we like it or not, [bitcoin] is being used by legitimate companies as a form of currency. You can’t keep your head in the sand and act like it doesn’t exist. It’s apparent that there’s going to be a regulated derivatives market that develops. Would you prefer that to happen in the U.S., or do you want that to migrate to London, Dubai, or Hong Kong?
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Last modified: February 13, 2020 5:31 PM UTC