3 Steps Bakkt Will Take to Become a ‘Regulated Institution,’ According to CEO

3 Steps Bakkt Will Take to Become a ‘Regulated Institution,’ According to CEO
ôîòî ïîêàçàíî ñ : bitcoinist.com

2018-9-19 18:00

The CEO of Bakkt shed some light on the steps it will take to differentiate itself on the market and become a regulated financial institution.

Physically Delivered Bitcoin Via Regulated Infrastructure

In a blog post of September 18, Kelly Loeffler, CEO at Bakkt, revealed the project’s intended steps to address the “unique requirements of regulated institutions, their clients and stakeholders.”

According to the chief executive, Bakkt takes advantage of the time-tested, existing, and entirely regulated infrastructure of the futures market. However, the platform will introduce a new product – physically delivered Bitcoin as well as warehousing to global markets.

It’s exactly this new product that Bakkt is introducing that causes some to believe that it will essentially make a Bitcoin ETF redundant.

Loeffler noted:

All aspects of the existing futures market, including institutional-grade onboarding and compliance will, for the first time, be part of physical delivery and warehousing of Bitcoin.

What is more, according to the CEO, the solution will be subjected to final review and approval by the US CFTC.

Increased Security

According to Loeffler, Bakkt will also introduce strong Bitcoin warehouse design and financial security. The platform will have a guaranty fund, entirely funded by Bakkt, which will purportedly eliminate the risk of a default.

“…while the purchases and sales of Bitcoin in our futures market will be pre-funded, which virtually eliminates the risk of default, the clearinghouse will gain a separate guaranty fund, funded by Bakkt, which is dedicated to the segregated Bitcoin assets of Bakkt’s clients,” the CEO explains.

A Bridge for Financial Institutions

Loeffler makes the case that participation requirements of larger financial institutions are dramatically different from those of retail investors.

Purportedly, Bakkt will use the trading and risk management applications available in the existing futures ecosystem to streamline market access for institutions. The platform is also attempting to provide a solution for the fragmented cryptocurrency market and the high cost of entry.

“The availability of Bakkt’s regulated physical delivery market price is designed to offer more information in real-time and greater transaction efficiency,” addsLoeffler

Earlier in August, Fundstrat’s Tom Lee outlined similar reasons for which Bakkt is going to be better than existing cryptocurrency exchanges like Coinbase.

What do you think of this new digital asset trading platform? Share below!

Images courtesy of Shutterstock, Medium.com

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regulated bakkt steps ceo institution take according

regulated bakkt → Ðåçóëüòàòîâ: 13


You won’t be able to spend your cryptocurrency in Starbucks anytime soon

No, you won’t be able to spend your cryptocurrency at Starbucks. Last Friday, Starbucks announced that it would be joining and supporting a project known as Bakkt. If successful, Bakkt will leverage Microsoft’s cloud solutions – probably their blockchain based Azure platform – to create an infrastructure for managing and using digital assets.

2018-8-6 15:01


Ôîòî:

NYSE Owner’s BAKKT Platform ‘Makes Bitcoin ETF Redundant’: Commentator

Intercontinental Exchange (ICE) digital asset platform Bakkt will “make a Bitcoin ETF completely redundant” when it launches in November, a prominent social media commentator has forecast. ‘Completely Redundant’ Commenting on the news the New York Stock Exchange owner was collaborating with Microsoft, Starbucks and others on a regulated “ecosystem” for digital assets, Twitter user known as Parabolic Trav said that the platform – known as Bakkt – would fulfill the functions originally intended for an Read More The post NYSE Owner’s BAKKT Platform ‘Makes Bitcoin ETF Redundant’: Commentator appeared first on Bitcoinist.com.

2018-8-6 15:00