NYSE's Owner Makes Huge Stride towards Mass Adoption with Crypto BakktAug 4, 2018, 8:05AM
Intercontinental Exchange plans to integrate Bakkt with its existing U.S futures market, a clearinghouse for Bitcoin futures.
Intercontinental Exchange, the parent company of the New York Stock Exchange, is launching a new startup called Bakkt that will serve as a federally-regulated market for Bitcoin. The venture is expected to go live in November and could push cryptocurrency adoption further into the mainstream by making the asset more accessible to institutional investors.
Intercontinental Exchange isn't going at it alone with Bakkt. The corporation is partnering with several big names in technology and consulting including Microsoft, Boston Consulting Group, and even Starbucks. According to Kelly Loeffler, who will serve as the company's CEO and is the wife of Intercontinental's CEO, Jeff Sprecher, the new platform will be geared towards bringing in a wide variety of potential users. She added,
Bakkt is designed to serve as a scalable on-ramp for institutional, merchant, and consumer participation in digital assets by promoting greater efficiency, security, and utility. We are collaborating to build an open platform that helps unlock the transformative potential of digital assets across global markets and commerce.
Intercontinental Exchange plans to integrate Bakkt with its U.S. futures market and clearinghouse. The company will offer a one-day Bitcoin futures contract similar to the Bitcoin futures developed by the CBOE and CME that were approved earlier this year. Bakkt's Bitcoin-based security is expected to obtain regulatory approval this November.
However, although the program looks promising, crypto has historically had a complicated relationship with U.S regulators. Multiple cryptocurrency-based securities, including a recent Bitcoin ETF, have been either rejected or delayed by the SEC.
Disclaimer: information contained herein is provided without considering your personal circumstances, therefore should not be construed as financial advice, investment recommendation or an offer of, or solicitation for, any transactions in cryptocurrencies.