Bakkt, the Bitcoin futures trading platform for institutions, had caused a lot of positive noise before its actual launch in mid-2019. The platform is backed by ICE, and since its launch, there has been steady growth in its daily traded volume. Had crossed the 6 benchmark Futures Bakkt Bitcoin delivered. Those are contracts traded on ICE Futures US.
Days ago, during a closed Bakkt event in Tel Aviv attended by various outlets, President Adam White discussed the current state of crypto regulations, along with Bakkt's plans. He also hinted at Bakkt's upcoming contracts beyond Bitcoin. According to White, Bakkt is the world's first and only fully regulated end-to-end marketplace when it comes to Bitcoin price discovery.
- Multifunctional hardware wallet for easy cryptographic security, storage and use
- Two-button control panel interface for secure access to digital assets
- Compact and lightweight design, easy to handle and use on the go
- Create and store keys offline and security protects against hackers and malware
- Advanced security features include PIN and passphrase
The only fully regulated Bitcoin market
What does that mean? Bakkt has regulated custody, regulated exchange trading, and regulated clarity. Bakkt is not vertically integrated. It has a monolithic structure that is a custodian, and according to White, this type of model is essential, unlike other markets where custodian and chains tend to be separate.
White, as one of Coinbase's early employees, doesn't see them as custodians at all. “I was one of Coinbase's first employees, and its custodian didn't even call it custody. It was just a by-product of what I had to do to be able to trade. " White explained: “We think it’s really important that while ICE is a majority shareholder and investor in Bakkt, they don’t own it outright.”
Unregulated places won't last forever
White claims that ICE is helping bring cryptocurrency trading to regulated markets, and that much of what he and his team do is accomplished by working with regulators in the US and abroad.
Unlike Bakkt's regulated way of having its market data based on its futures contracts physically delivered, White sees a challenge with unregulated exchanges in the fact that its market data is self-reported and there is no oversight. regulatory there.
«We are seeing trading offshore, in unregulated places, with very little KYC, no AML, these days will not last forever«And yes, White points directly to BitMEX, bybit and the other leading crypto margin exchanges. "Regulators are slow, but persistent, and will not allow this to happen indefinitely.". White concludes.
