On October 23, 2017, a quiet but significant development took place in the cryptocurrency industry that would have lasting implications for institutional adoption. MarketVector Indexes, a subsidiary of VanEck, launched a series of digital asset benchmark indexes designed to track the performance of the rapidly growing but fragmented global cryptocurrency market, becoming the first regulated index provider to meet investment industry benchmarking standards for digital assets.
TL;DR
- MarketVector (VanEck subsidiary) launches first regulated digital asset index family on October 23, 2017
- The indexes are designed to track the fragmented global digital assets marketplace
- VanEck becomes the first major regulated index provider to offer crypto benchmarks
- Bitcoin trades at $5,930 with a market cap of $98.7 billion on this date
- The launch signals growing institutional interest in cryptocurrency infrastructure
Bridging Traditional Finance and Digital Assets
The MarketVector launch addressed one of the most significant barriers to institutional cryptocurrency investment: the absence of reliable, regulated benchmarks. While Bitcoin and other cryptocurrencies had experienced explosive growth throughout 2017, with Bitcoin surging past $5,900 and the total crypto market cap approaching $176 billion, professional investors lacked the standardized reference points that are fundamental to traditional asset management.
The new index family was designed to provide accurate tracking of the digital asset marketplace, offering a level of transparency and consistency that had previously been missing from the crypto space. By meeting investment industry benchmarking standards, MarketVector’s indexes gave fund managers, financial advisors, and institutional investors a tool they could actually use within their existing compliance and risk management frameworks.
This was not a minor development. In traditional finance, indexes serve as the foundation for trillions of dollars in investment products, from mutual funds and ETFs to derivatives and structured products. Without regulated, trustworthy indexes, the cryptocurrency market remained largely inaccessible to the professional investment community.
VanEck’s Long Game
The MarketVector launch was consistent with VanEck’s broader strategy of bringing digital assets into the mainstream financial ecosystem. The company, known for its expertise in gold and emerging market investments, had been positioning itself as a bridge between traditional finance and the cryptocurrency world.
By launching these indexes through a regulated subsidiary rather than through a crypto-native company, VanEck was sending a clear signal to the market: digital assets were mature enough to be measured and tracked using the same rigorous standards applied to traditional securities and commodities.
The timing was strategic. Bitcoin had risen approximately 771% over the preceding twelve months, and Ethereum had surged more than 4,000% year to date to reach $287. The cryptocurrency market was attracting unprecedented attention from retail investors, but institutional participation remained limited by regulatory uncertainty and infrastructure gaps.
The Regulatory Context
The MarketVector launch came at a moment of intense regulatory debate around cryptocurrencies. Just days earlier, Saudi Arabian Monetary Agency senior advisor Abdulmalik Al-Sheikh had told CNBC that it was too early to judge and therefore too early to regulate Bitcoin’s impact, suggesting a five-year horizon before regulators could properly assess the cryptocurrency’s effect on the broader financial system.
In September, J.P. Morgan CEO Jamie Dimon had made headlines by calling Bitcoin a “fraud” and predicting government crackdowns. On the same day as the MarketVector launch, Saudi billionaire Prince Alwaleed bin Talal compared Bitcoin to the Enron scandal, calling it an “Enron in the making” that would eventually implode.
Against this backdrop of regulatory uncertainty and high-profile skepticism, MarketVector’s decision to launch regulated indexes represented a contrasting perspective from the traditional finance world. While some Wall Street leaders dismissed cryptocurrencies, others were quietly building the infrastructure needed to support institutional investment in digital assets.
The Top 5 Cryptocurrencies by Market Cap
On October 23, 2017, the cryptocurrency market looked significantly different from today’s landscape. Bitcoin dominated with a market capitalization of $98.7 billion at $5,930 per coin. Ethereum held second place at $27.3 billion ($287 per ETH). XRP ranked third at $7.6 billion, followed by Bitcoin Cash at $5.3 billion and Litecoin at $2.9 billion. The total market capitalization of all cryptocurrencies combined was approximately $176 billion, a figure that would grow dramatically in the months ahead.
Why This Matters
The MarketVector digital asset index launch on October 23, 2017, was a foundational moment for institutional cryptocurrency adoption. By providing the first regulated benchmarks for digital assets, VanEck’s subsidiary gave traditional financial institutions the tools they needed to begin seriously evaluating and investing in the cryptocurrency space. This infrastructure would prove essential in the years ahead, as Bitcoin ETFs, crypto index funds, and other institutional products all depend on reliable, regulated indexes as their underlying benchmarks. The launch also demonstrated that not all of Wall Street shared the skepticism of figures like Jamie Dimon — some were actively building the bridges between traditional finance and the emerging world of digital assets.
Disclaimer: This article is for informational purposes only and does not constitute financial advice. Cryptocurrency investments carry significant risk. Always conduct your own research before making investment decisions.
BTC at 5930 and VanEck was already building institutional grade indexes. everyone else was chasing ICO flips and they were laying foundation for the ETF era
marketvector launching regulated indexes for the 98B market in 2017 was the quiet start to real wall street benchmarks
regulated indexes in 2017 when the SEC was still calling crypto a joke. VanEck understood the timeline better than anyone
BTC at 5930 with a 98B market cap and VanEck was already building benchmark methodology. meanwhile retail was buying verge at 3 cents thinking it was the next Monero
VanEck been trying to build crypto infrastructure since way before the ETF. MarketVector was their trojan horse into institutional adoption
VanEck spent 8 years building index infrastructure before their ETF got approved. everyone calls them lucky now but the MarketVector play in 2017 was the foundation
dex_veteran_ 8 years is the part nobody mentions. VanEck filed ETF applications that collected dust at the SEC for a decade. MarketVector was them hedging their bet on infrastructure
index_old_head_ 8 years of ETF applications collecting dust and VanEck kept building infrastructure the entire time. MarketVector in 2017 was them hedging their bet on benchmarks while waiting for SEC approval
dex_veteran_ VanEck filed their first BTC ETF application in 2021 but MarketVector was 2017. they were building the picks and shovels while everyone else was gambling on ICOs. genuinely played the long game
first regulated index provider for crypto and barely anyone noticed. this is bigger than most price milestones people celebrate
^ agree. the infrastructure buildout in 2017 was insane but everyone was too busy counting their gains to care
BTC at $5,930 when this launched and people were still debating if crypto was real. VanEck quietly building benchmark infrastructure while retail chased ICO flips tells you who actually understood the timeline
Henrik Tashiro VanEck was building index infrastructure while Coinbase was still figuring out their order matching engine. institutional rails came first, retail hype came second
5,930 btc price and VanEck was already building index infrastructure. they really were early on everything institutional
barely anyone noticed because everyone was obsessing over btc price action. the boring infrastructure stuff ended up mattering more long term
boring infrastructure at $5,930 btc ended up being more important than every ico that launched that year. index providers are invisible but essential
btc at 5930 when vaneck dropped those indexes feels like the real foundation before any ETFs
regulated benchmarks for a $98 billion market and zero ETFs in sight. VanEck was playing a decade long game while everyone else was chasing quick listings
solana_refugee zero ETFs in sight at 5930 BTC. VanEck filed their first spot BTC ETF in 2021 and got denied for years. MarketVector was the trojan horse strategy
zero ETFs at 5930 BTC. VanEck built MarketVector as a trojan horse while waiting a decade for spot approval. patience or stubbornness
VanEck been trying to get a BTC ETF through since 2017 and people act like BlackRock invented it. MarketVector was laying groundwork years before anyone cared
bitcoin at 5930 with a 98 billion market cap feels like looking at baby photos now. the index infrastructure they built actually mattered though, every fund manager needs a benchmark
regulated index provider meeting BMR standards in 2017 was actually huge. try pitching a crypto fund to pensions without a proper benchmark, they laugh you out
bench_rat_ BMR compliance in 2017 was quietly huge. try pitching a crypto fund to pensions without a regulated benchmark, they literally cant allocate
Hanh N. retail buying Verge at 3 cents while VanEck was building benchmark methodology for a 98B market tells you everything about who actually makes money in crypto. infrastructure beats speculation every time