Bakkt Exchange Finally Announces Bitcoin Futures Launch in July
After a series of delays, the Bakkt exchange moves on with its plans to launch Bitcoin (BTC) futures with physical delivery in July.
The Bakkt exchange plans the launch of the first physical delivery Bitcoin (BTC) futures in July, finally setting a clear launch deadline after a series of delays. The long-awaited Bakkt exchange is seen as one of the avenues for BTC trading adoption for the world of mainstream finance.
The announcement arrived following a strategic partnership to ensure Bakkt has a reliable custodial storage solution for BTC. While interest in Bakkt was somewhat weak during the lows of the recent bear market, the recovery of prices revived the expectations that BTC trading would find mainstream adoption and attract institutional traders and investors.
“In conjunction with our exchange and clearing partners at ICE, we’ll be working with our customers over the next several weeks to prepare for user acceptance testing (UAT) for futures and custody, which we expect to start in July,” the Bakkt team announced.
Bakkt expects to launch two types of contracts, a daily settlement futures, as well as monthly futures, similar to those offered by the CME. But the difference will be that unlike cash-settled futures, Bakkt will offer physical delivery.
“Bakkt will contribute $35 million into the clearinghouse risk waterfall. This puts our own “skin in the game” and aligns our interests for market integrity and safety with market participants,” further explained the exchange team.
The Bakkt announcement arrives at a time when the price revival for BTC led to record-high volumes for the CME futures as BTC prices crossed the $8,000 threshold.
This development follows the opening of Bitcoin trading for a limited number of TD Ameritrade customers and is seen as yet another sign of mainstream adoption.
The Ameritrade options were first noticed by a handful of social media users, later confirming the intentions of the trading platform to extend to digital assets.
According to experts, Ameritrade’s offering brings a hedge against the risk of mainstream financial assets:
Social media users also pointed to the wider adoption, despite the fact that only a few months ago, there were predictions the leading coin would return to lows of $1,000.
The Bakkt launch shows that custodial services are crucial to mainstream adoption, as wallet technology remains complicated and security is still a work in progress, requiring expertise and attention.