12th December is the date when Bakkt Bitcoin Futures trading is set to launch.
Bakkt is an open-source global investing platform which wants to make the access, trading, and use of digital assets much more comfortable and faster for users. Their parent company ICE (Intercontinental Exchange) which is the owner of NYSE (New York Stock Exchange), just recently revealed that the Bakkt Bitcoin daily futures contracts would begin trading on December 12th. The official announcement, published on October 22, says: “The Bakkt Bitcoin (USD) Daily Futures Contract is a physically-settled daily futures contract for bitcoin held in Bakkt LLC, ICE’s Digital Asset Warehouse, and will be cleared by ICE Clear US, Inc.” Further explaining that “Each futures contract calls for delivery of one bitcoin held in the Bakkt Digital Asset Warehouse, and will trade in U.S. dollar terms. One daily contract will be listed for trading each Exchange Business Day.”
These are generally good news for crypto investors, as a lot can change from this point on.
First of all, the SEC (Securities and Exchange Commission) might change their position on this market about Bitcoin ETF approvals, as they base their opinion on the fact that the BTC futures market is not sufficiently liquid. Bakkt might change that.
Bakkt will officially begin clearing Bitcoin futures on Dec 12, 2018.— Joseph Young (@iamjosephyoung) October 22, 2018
Previously, the US SEC rejected 9 Bitcoin ETFs that based their price on the futures market because the BTC futures market was not sufficiently liquid.
The entrance of Bakkt could change the viewpoint of SEC pic.twitter.com/BhGRCR7Qe2
Secondly, the entrance of Bakkt might substantially increase the movement of the market in a good way, as a lot of Bakkt clients now would be able to invest in Bitcoin.
Thirdly, Bakkt is planning to provide all sort of solutions for crypto investors. The company’s CEO Kelly Loeffler said that Bakkt is looking into providing solutions for buying, selling, storing and spending digital assets – all in a decentralized ecosystem. Also, Jeffrey C. Sprecher, the Founder, Chairman and CEO of ICE said: “In bringing regulated, connected infrastructure together with institutional and consumer applications for digital assets, we aim to build confidence in the asset class on a global scale, consistent with our track record of bringing transparency and trust to previously unregulated markets.”
However, as expected from last years predictions, this is the year when the crypto market class is seeing a notable recognition. It is becoming more and more regulated, and large commissions and organizations are looking up to it. The only thing I’m not sure about is how a company of such scale and power can provide a decentralized platform for crypto operations.
Are all these regulations, ETFs and futures markets going to be good for the industry? Sometimes it feels like we are capable of everything to see a little bull-run. What are your thoughts?
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