After numerous headlines on the rapid price rise of several assets, including GameStop (GME), AMC Entertainment (AMC) stocks and Dogecoin (DOGE), crypto exchange FTX has listed an index that tracks assets. FTX named the index after Wall Street Bets – the Reddit group thought to be associated with pumping the prices of those 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 is traded as a futures contract with maturity on March 26, 2021.
When asked if the product is just a short-term offering on FTX, the exchange’s CEO, Sam Bankman-Fried, said it depends. “We’ll see,” he told Cointelegraph. “If there is enough demand, we will mention Junes!”
Bankman-Fried also explained that the WSB index futures contract is “cash settled versus the index of tokenized stock markets on FTX.”
The Wall Street Bets, or WSB, index, which officially trades under the ticker WSB-0326, “tracks the price of NOK, BB, AMC, GME, SLV, DOGE, and FTT using a weighted average of their prices,” FTX says in the product description at the fair.
Each asset price has a weight of 16.5% in the basket, except for FTT, which has a weight of only 1%. By adding up the six assets with a weight of 16.5% and FTT with a weight of 1%, the total comes to 100%.
In recent days, the Reddit group known as Wall Street has Bets reportedly worked to pump the prices of multiple stocks, including GME and AMC, in light of the efforts of larger entities to short those assets. Yesterday, DOGE also pumped massively in line with the group’s chatter.