Bakkt Puts Bitcoin Plans “on Ice” – Bitcoin Futures Launch on ICE Futures Exchange Delayed Til January
Bakkt, a company owned by the NYSE, has delayed the Bitoin Futures Contracts launch on ICE Futures U.S. exchange until January 24, 2019. During that time Bakkt will be able to test every process and ensure investors will find a healthy environment to trade Bitcoin Futures.
The Extended Launch Date Allows Bakkt to Improve Infrastructure
The initial launch date was scheduled for December 12, but as the physically-settled commodity is still subject to regulatory approval, the new timeframe will equip Bakkt with the time needed for the customer and clearing member onboarding, "prior to the start of trading and warehousing of the new contract." According to Kelly Loeffler, CEO at Bakkt, the company conducts tests thoroughly every process to mitigate the risks associated with the new asset class. Bakkt receives a considerable amount of interest and readjusting the timeline seems sensible, to ensure investors will trade Bitcoin futures within a safe and robust environment.
All the Bakkt Bitcoin (USD) Daily Futures Contracts will be kept in the Bakkt Warehouse and cleared by the ICE Clear U.S. Inc. Bitcoin contracts will be settled in U.S. dollars, and each one of them will call for the delivery of one Bitcoin. One Bitcoin futures contract will be listed on each Exchange Business Day and will be traded under the symbol "BTC."
Bakkt Will Implement New Features to Become a Cryptocurrency Warehouse for Institutions
Bakkt has decided to start with Bitcoin, the dominant digital currency, to ensure the necessary liquidity. However, as the cryptocurrency market evolves, the company will continuously reconsider the addition of more digital assets, based on its customers' needs and feedback.
In a blog post, Loeffler outlined her company's plans to expand its offering, as its ultimate goal is to become an institutional-grade crypto warehouse. She went on saying that Bakkt has implemented insurance for Bitcoin held in cold storage, while they are in the process of securing insurance for the hot wallet in the Bakkt Warehouse architecture. She further revealed that Bakkt will be announcing more features in the coming weeks.