ICE’s Bakkt Platform Will Start Warehouse Deposits from September 6 Onwards
Earlier this month on August 16, ICE’s Bakkt platform got regulatory approval from the U.S. Commodities and Futures Trading Commission (CFTC) to launch its physically-settled Bitcoin Futures contracts in the crypto market.
To begin with some early preparations, the Bakkt Warehouse plans to offers its clients Bitcoin storage facility from the 6th of September. In a Twitter announcement, Bakkt wrote:
“On Sept 6, our Warehouse will begin offering secure storage of customer bitcoin to prepare for the launch of Bakkt Bitcoin Daily & Monthly Futures when they launch on Sept 23 These contracts will enable physical delivery of bitcoin with end-to-end regulated markets and custody.”
The Bakkt Warehouse is the part of the Bakkt Trust Company which offers physical and cyber security protections. Moreover, the Bakkt Warehouse is designed to meet the highest standards of oversight ensuring its compliance requirements and independent governance of a qualified custodian.
It’s been a year since the Intercontinental Exchange (ICE) announced crypto platform Bakkt with an aim to bring the crypto use in mainstream and daily digital spendings.
Besides encouraging retail participation on the platform, Bakkt has also been encouraging institutional companies by introducing products like Bitcoin Futures contracts.
So far, Bakkt was awaiting a green signal from the CFTC to launch its Bitcoin Futures and after a year of persistent efforts, the crypto platform has finally managed to get through all the barriers.
Bakkt CEO Kelly Loeffler wrote: “Bakkt is bridging that gap to access this market and solve for factors that have slowed institutional participation. Whether concerns relate to a lack of liquidity, market quality and regulation, or issues with reliability, fees, and operational risks, we are addressing these challenges with a transparent offering”.
Besides, Leoffler has also assured that Bakkt “Bakkt bitcoin futures contracts will not rely upon unregulated spot markets for settlement prices, thus serving as a transparent price discovery mechanism for the benchmark price for bitcoin”.
Thus, the platform will comply with all regulatory rules while combating illicit practices of anti-money laundering and other manipulative spot market activity.
The Bakkt Bitcoin Futures Contracts will be traded on ICE Futures U.S. and cleared on ICE Clear US.