As per yesterday’s announcement, the index will reflect the performance of 50 blockchain focused firms listed on the SEE.
The ranking list comprising the top 50 blockchain related stocks was prepared based on their average daily market value in the past six months. Twice a year, the index is updated.
Precisely, the update is done on the second Friday of June and December.
Before building the index, SSE ensured that the enterprises being considered have deployed the technology and did not try to leverage on the blockchain craze.
Back in March 2018, SSE had terminated the stock of healthcare device manufacturer Lifesense from the list after investigations proved that the firm had not adopted blockchain technology.
The stock price of Lifesense skyrocketed by 10% and hit the SSE’s daily ceiling after the company made an announcement regarding the launch of a “blockchain laboratory.”
SSE, which has a market capitalization of $3.12 trillion as per stock market related website TradingHours, is one the two independent stock exchanges operating in mainland China. It is the fourth larget stock market in Asia and eighth largest across the globe.
Several top exchanges have started listing indexes that monitor blockchain and crypto focused firms. In mix-October, Nasdaq listed the AI-based CIX100 index established by crypto info provider Cryptoindex.
Likewise, in September, Nasdaq listed Defix, which pertains to stocks of companies active in the financial sector and using blockchain technology.
The index includes ventures such as proof-of-work blockchain Amoveo, prediction market Augur and decentralized exchange protocol 0x.