The cryptocurrency market has been down since mid-November, and it does not appear that the market will not particularly get any push in prices from Wall Street anytime soon. The owner of the New York Stock Exchange (NYSE), Intercontinental Exchange (ICE), has announced the delay of its bitcoin futures product, Bakkt until January 24th, 2019 or later.
Why the Delayed Launch?
Bakkt Daily Futures Contract was supposed to launch on December 12th of this year on ICE Futures, which would allow for US investors to trade a physically-settled crypto futures product on an esteemed, regulated conventional exchange(when the contracts end, bitcoin doesn’t exchange hands). The delay was portrayed in a positive manner, with the New York Stock Exchange owner stating that it would allow for the firm more time to gain more key customers before they start operations. It was stated in the announcement that;
“ICE Futures U.S., Inc. will list the new Bakkt Bitcoin (USD) Daily Futures Contract for trading on trade date Thursday, January 24, 2019, subject to regulatory approval. The new listing timeframe will provide additional time for the customer and clearing member onboarding prior to the start of trading and warehousing of the new contract.”
It has been widely speculated in the crypto world that with the launch of Bakkt in the crypto space, the market would kick back up significantly because of the credibility of the company behind Bakkt, an age-long standing company. Optimists like Tom Lee have predicted the Bitcoin price to hit as much $15,000 before the end of the year to send prices closer to where they were this time last year December. The delay in the launch of Bakkt is probably because of the declining crypto market. The company behind Bakkt knows they’d generate much buzz and have a more significant impact if, with their launch, a much more substantial effect is made. One would guess that, for now, they’d have to wait until the market is restored to its former stable $200 billion market cap.
The Crypto High About Bakkt
Bakkt is a platform that offers all types of crypto services influencing trading and warehousing. The buzz around Bakkt and why its launch has been so anticipated in the crypto world is because of the company behind it; the same company that owns the New York Stock exchange. Basically, the benefits of cryptocurrency are one thing, and the adoption by major players is another.
People want real-world applications of crypto apart from its digital currency value, and that’s particularly what Bakkt offers. The introduction of Bakkt in the crypto market will be an advantageous move to cryptocurrency as a whole, stemming from the credibility of the ICE.
Apart from the fact that Bakkt is backed by the ICE, a company backed by Goldman Sachs, BP, Total, Shell, and some of the world’s biggest energy traders, other big names are supporting the project including Microsoft, BCG, and Starbucks. Bakkt has been described as a potential ‘market mover’. It offers versatility in the crypto world, and will even be approved by the U.S. Commodity Futures Trading Commission to commence operations.