"Nasdaq Poises to Enters the Crypto Arena

Nasdaq, the second-largest stock exchange in the world, has announced that it will launch a digital asset exchange in Mid 2023, becoming a direct competitor to crypto exchanges like Coinbase and Binance. The exchange will offer services like custody, execution, and liquidity, building on the foundation of custody. The move comes at a time when institutional interest in crypto is on the rise, with 91% of BNY Mellon's institutional investors interested in investing in digital assets, and 70% saying they would increase their digital asset activity if trusted institutions offered services like custody and execution.

The recent collapse of three major US banks and regulatory intervention to avert a banking crisis have also put Bitcoin and the broader crypto market in the spotlight as an alternative banking system. Some argue that Bitcoin's recent price behavior suggests increasing regulatory pressure has had no impact on the leading cryptocurrency, and that its rally is a sign of its value as a safe-haven asset.

Nasdaq's move to offer a trusted digital asset exchange for trading firms and other professional investors comes at a time when major crypto exchanges like FTX have collapsed during the recent crypto meltdown, and others like Coinbase and Binance are facing increasing regulatory scrutiny. US authorities have sent subpoenas to American hedge funds and market-making companies dealing with Binance, asking for records of their communications with the exchange, and three US Senators have recently asked Binance to provide transparency about potentially illegal business practices. The SEC has also recently sent a so-called "Wells notice" to Coinbase, threatening the crypto exchange with legal actions regarding some of its listed digital assets