After numerous headlines about the soaring price of various assets, including stocks in GameStop (GME), AMC Entertainment (AMC) and Dogecoin (DOGE), the cryptocurrency exchange FTX has added an index that tracks the assets. FTX named the index after Wall Street Bets, the Reddit group that is believed to be linked to price pumping of these assets.
“We are pleased to announce that we have started trading a basket of Wall Street Bets markets,” FTX said in a public statement on Thursday. The index trades as a futures contract that expires on March 26, 2021.
When asked if the product is just a short-term offer for FTX, the exchange’s CEO Sam Bankman-Fried said it depends. “We’ll see,” he said to Cointelegraph. “If there is enough demand we will list junes!”
Bankman-Fried also stated that the WSB index futures contract “will be settled in cash against the index of the FTX token stock markets”.
The Wall Street Bets Index or WSB, officially trading under the symbol WSB-0326, “tracks the price of NOK, BB, AMC, GME, SLV, DOGE and FTT based on a weighted average of their prices”.says FTX in the product description on the exchange.
Each asset price has a weight of 16.5% in the basket, with the exception of the financial transaction tax, which only has a weight of 1%. If you add the six assets that weigh 16.5% and the financial transaction tax that weighs 1%, you get a total of 100%.
In the last days The Reddit group known as Wall Street Bets has been working to raise the prices of several stocks, including GME and AMC, amid efforts by larger companies to sell these assets.. Yesterday, DOGE also massively coordinated the conversation with the group.