Bakkt has made it known that it has been granted approval by the necessary regulators and therefore will be launching its much-awaited platform for daily and monthly futures in the U.S. on the 23rd of September this year.
Since the firm announced the coming of physically delivered futures in August 2018, it has become a common subject of discussion.
The publication states that:
“As an initial component of the Bakkt offering, Intercontinental Exchange’s U.S.-based futures exchange and clearinghouse plan to launch a 1-day physically delivered Bitcoin contract along with physical warehousing in November 2018, subject to CFTC review and approval.
These regulated venues will establish new protocols for managing the specific security and settlement requirements of digital currencies. In addition, the clearinghouse plans to create a separate guarantee fund that will be funded by Bakkt.” it added.
However, the initiative faced repeated delays due to compliance issues and it was difficult to meet up with the demands of the Commodity Futures Trading Commission (CFTC). The firm started carrying out tests on the 22nd of July.
Also, the press release stated that Bakkt has hosted several events both in Chicago and New York which are cities important to the U.S. futures market. The company is also said to have held meetings with regulators from CFTC as well as the Securities and Exchange Commission.
Furthermore, Bakkt has forged partnerships with Intercontinental Exchange Clear U.S. and Intercontinental Exchange Futures U.S. so as to provide its futures contracts.
In addition, Institutional services and custody have become a growing market in crypto as Coinbase, a major U.S. exchange has recently announced that it will be adding Xapo’s Institutions into its custodial operation.
After the announcement, Brian Armstrong, the Chief Executive Officer of Coinbase gave his thoughts regarding the major rise in institutional clients for crypto services.