After a long wait, Bakkt is finally launching their Bitcoin (BTC) Futures contracts alongside ICE Futures US and ICE Clear US. The announcement was made on Monday, and according to many, it is set to change the crypto sphere.
Bakkt, the Intercontinental Exchange (ICE)-backed company, set out their plans for the project and revealed that it would begin in July this year. The details were revealed via Medium by the chief executive, Kelly Loeffler.
The Bitcoin future project will take two forms; the first being a daily settlement future and the second being monthly futures. The price formation will also not be ruled by cash markets, but by their physical delivery contracts. The delivery of Bitcoin will be handled by an integrated custody service and fulfilled by Bakkt’s qualified custodian
Speaking on the partnership, Loeffler said:
“We’ve worked closely with the US Commodity Futures Trading Commission (CFTC) to develop contracts that both meet our customers’ needs for trading, transparency, and market certainty, and are also compliant with Federal regulations.”
Bakkt is clearly holding large amounts of faith in this Bitcoin-based project. The company will contribute $35 million to the project, and it’s also looking to regulate and stick to the rule of law by working closely with the New York State Department of Financial Services.
The Bitcoin Future’s project was first announced in October last year and was set to launch in December of 2018.
However, this failed to materialize much to the disappointment of many who see the project as a crucial step in the development of the industry.
In other news, Marc D’Annunzio has become the General Counsellor for Bakkt and will begin his role in the coming future, Loeffler revealed. This latest employee is set to bring a wealth of experience when it comes to law and regulations.