According to the Wall Street Journal, the Commission on trade commodity futures U.S. (CFTC) approves Bakkt – the first ever platform for futures contracts on Bitcoin. This should happen in the near future. As writes the edition, this is the first futures contract, which will be paid in bitcoin, not Fiat money. The project belongs to the Intercontinental Exchange (ICE).
The Chairman of the CFTC can put an end to the drop of Bitcoin
As written by Bitcoinist, Bakkt and the CFTC are cooperating in the process of dealing with futures contracts. It is also reported that the CFTC is currently exploring a business plan Bakkt for compliance with the rules.
There are questions about infrastructure cyber security. Lately, crypto currencies and their holders often become the target of cybercriminals. The CFTC is examining security measures Bakkt, as well as mechanisms of recovery after a possible cyberattack.
Earlier Bakkt had to postpone the launch of futures contracts on the Bitcoin until January 24, 2019. As it was reported by the representatives of the platform, this is due to the additional cycle of testing and development of additional infrastructure.
Focus on pricing
For Bakkt the pricing mechanism is critical, as the contracts will be shipped in BTC, not Fiat, as is the case with contracts from the CME and CBOE. Therefore, the team needed more time to work through the likely rough spots in the work. We already know that all transactions will be hedged and conducted only on a secured liquidity funds.
The reputation of the largest network of US exchanges, the Intercontinental Exchange (ICE), which stands for Bakkt will certainly do the job and will attract a lot of unfamiliar with the niche cryptocurrency investors. It is logical to expect a wave of new capital.
In addition Bakkt to launch Bitcoin futures in 2019 is also planning a Nasdaq. Considered the prospect of the introduction of futures contracts on altcoins, including Ethereum. More data look at cryptodata.
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