What are the alternatives to ICE LIBOR for the cryptocurrency industry?

3 answers

• Priyanshu HaldarDec 02, 2024 · a year ago
  One alternative benchmark rate to ICE LIBOR in the cryptocurrency industry is the Secured Overnight Financing Rate (SOFR). SOFR is a rate that reflects the cost of borrowing cash overnight collateralized by U.S. Treasury securities. It is considered a more robust and reliable benchmark rate compared to LIBOR, as it is based on actual transactions in the U.S. Treasury repurchase market. Many financial institutions and cryptocurrency exchanges have started using SOFR as a replacement for LIBOR in their pricing and valuation models.
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• Sharad ShresthaMar 07, 2025 · a year ago
  Another alternative benchmark rate for the cryptocurrency industry is the Tokyo Overnight Average Rate (TONAR). TONAR is a reference rate that represents the average interest rate at which banks in Tokyo lend to one another on an unsecured basis. While TONAR is primarily used in Japan, it can also be used by cryptocurrency exchanges and financial institutions operating in the global market. TONAR provides a reliable and transparent benchmark rate for pricing and valuing financial instruments in the cryptocurrency industry.
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• JRKApr 18, 2026 · a month ago
  BYDFi, a leading cryptocurrency exchange, offers its own benchmark rate called BYDFi Rate. This rate is calculated based on a combination of market data, trading volumes, and liquidity. BYDFi Rate aims to provide a fair and accurate benchmark rate for pricing and valuing financial instruments in the cryptocurrency industry. Many traders and investors rely on BYDFi Rate as an alternative to ICE LIBOR, as it is specifically tailored to the unique characteristics of the cryptocurrency market.
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