Hashkey Capital, a digital asset investment company, has partnered with FTSE Russell, a subsidiary of the London Stock Exchange Group (LSEG), to introduce three indices that track cryptocurrencies. These indices provide investors and traders with the ability to monitor a wide range of assets across different segments of the digital asset market.
Hashkey and FTSE Russell Introduce Comprehensive Crypto Asset Indices
Hashkey Capital has announced a collaborative agreement with FTSE Russell, a renowned provider of benchmarks, analytics, and multi-asset data solutions. Together, they have developed three indices specifically designed to track the performance of crypto assets.
Beginning on January 24, 2024, these indices will be accessible on the FTSE Russell website. There are also plans to make them available through various data providers, including Bloomberg, Factset, LSEG Data and Analytics, Morningstar, and S&P Capital IQ, in the future.
"We are thrilled to have partnered with HashKey Capital in the creation of these new custom indices," said Chris Williamson, Head of Asia-Pacific Index Investments Group at FTSE Russell, during the announcement.
Williamson added, "The indices undergo a rigorous vetting and monitoring process, establishing standards for asset and exchange inclusion to meet the institutional demand for investability and regulatory integrity in this emerging asset class."
According to the announcement, the FTSE Custom Digital Asset Top 20 Index tracks the top 20 crypto assets based on market capitalization, representing over 90% of the digital asset market's performance.
The FTSE Custom Digital Asset Infrastructure Index focuses on foundational assets within the crypto ecosystem, such as smart contract platforms and distributed computation. Lastly, the FTSE Custom Digital Asset Application Index tracks assets associated with staking and decentralized finance (defi).
Hashkey recently obtained a comprehensive capital markets license in Singapore, and in mid-January, Hashkey Group announced a $100 million capital raise through a Series A funding round. "We have seen a significant increase in demand from investors who want to diversify their portfolios beyond traditional cryptocurrencies," said Mr. Deng Chao, Managing Director of Hashkey.
What are your thoughts on Hashkey's collaboration with FTSE Russell? Share your opinions in the comments section below.
Frequently Asked Questions
What should I pay into my Roth IRA
Roth IRAs are retirement accounts that allow you to withdraw your money tax-free. You cannot withdraw funds from these accounts until you reach 59 1/2. However, if you do decide to take out some of your contributions before then, there are specific rules you must follow. You cannot touch your principal (the amount you originally deposited). You cannot withdraw more than the original amount you contributed. If you wish to withdraw more than you originally contributed, you will have to pay taxes.
The second rule says that you cannot withdraw your earnings without paying income tax. You will pay income taxes when you withdraw your earnings. Let's assume that you contribute $5,000 each year to your Roth IRA. Let's further assume you earn $10,000 annually after contributing. On the earnings, you would be responsible for $3,500 federal income taxes. You would have $6,500 less. Because you can only withdraw what you have initially contributed, this is all you can take out.
Therefore, even if you take $4,000 out of your earnings you still owe taxes on $1,500. Additionally, half of your earnings would be lost because they will be taxed at 50% (half the 40%). So even though you received $7,000 in Roth IRA contributions, you only received $4,000.
There are two types of Roth IRAs: Traditional and Roth. Traditional IRAs allow you to deduct pretax contributions from your taxable income. Your traditional IRA can be used to withdraw your balance and interest when you are retired. You can withdraw as much as you want from a traditional IRA.
Roth IRAs won't let you deduct your contributions. After you have retired, the full amount of your contributions and accrued interest can be withdrawn. There is no minimum withdrawal limit, unlike traditional IRAs. You don't have to wait until you turn 70 1/2 years old before withdrawing your contribution.
Is it possible to hold a gold ETF within a Roth IRA
Although a 401k plan might not provide this option, you should still consider other options like an Individual Retirement Account (IRA).
A traditional IRA allows for contributions from both employer and employee. Another way to invest in publicly traded companies is through an Employee Stock Ownership Plan.
An ESOP offers tax benefits because employees can share in the company stock and any profits that it generates. The money invested in the ESOP is then taxed at lower rates than if it were held directly in the hands of the employee.
Also available is an Individual Retirement Annuity. You can make regular payments to your IRA throughout your life, and you will also receive income when you retire. Contributions to IRAs do not have to be taxable
Is gold a good choice for an investment IRA?
Any person looking to save money is well-served by gold. You can diversify your portfolio with gold. There's more to gold that meets the eye.
It has been used as a currency throughout history and is still a popular method of payment. It's often referred to as “the world's oldest currency.”
But unlike paper currencies, which governments create, gold is mined out of the earth. It is very valuable, as it is rare and hard to create.
The price of gold fluctuates based on supply and demand. The strength of the economy means people spend more, and so, there is less demand for gold. This results in gold prices rising.
On the flipside, people may save cash rather than spend it when the economy slows. This results in more gold being produced, which drives down its value.
This is why both individuals as well as businesses can benefit from investing in gold. You'll reap the benefits of investing in gold when the economy grows.
Additionally, you'll earn interest on your investments which will help you grow your wealth. If gold's value falls, you don't have to lose any of your investments.
How Does Gold Perform as an Investment?
The supply and demand for gold affect the price of gold. Interest rates also have an impact on the price of gold.
Due to their limited supply, gold prices fluctuate. In addition, there is a risk associated with owning physical gold because you have to store it somewhere.
Statistics
- Indeed, several financial advisers interviewed for this article suggest you invest 5 to 15 percent of your portfolio in gold, just in case. (aarp.org)
- Contribution limits$6,000 (49 and under) $7,000 (50 and up)$6,000 (49 and under) $7,000 (50 and up)$58,000 or 25% of your annual compensation (whichever is smaller) (lendedu.com)
- If you accidentally make an improper transaction, the IRS will disallow it and count it as a withdrawal, so you would owe income tax on the item's value and, if you are younger than 59 ½, an additional 10% early withdrawal penalty. (forbes.com)
- (Basically, if your GDP grows by 2%, you need miners to dig 2% more gold out of the ground every year to keep prices steady.) (smartasset.com)
- If you take distributions before hitting 59.5, you'll owe a 10% penalty on the amount withdrawn. (lendedu.com)
