Exchanges Bakkt

Bakkt CEO Issues Evolving Market Updates and Trusted Price Formation Necessity

Bakkt: The Necessity of an Evolving Market

Bakkt is a platform geared toward bringing digital assets to the mainstream and unlocking the technology’s potential. The platform released a statement on the online news publication Bakkt, about a few observations.

First, response to the platform’s news about its development through the Microsoft and Starbucks partnership was largely positive. Much of the credit for the positive response is due to a premier group of partners, which collaborated with Bakkt to develop its vision. The platform also stated that:

“equally important is the widespread need we’re hearing for trusted infrastructure for trading, storing and spending digital currencies.”

The platform is working with a proven framework that underpins exchanges, that includes a consistent regulatory construct, a transparent and efficient price discovery, and an institutional quality pre-and-post trade infrastructure. Though the concept of “price discovery” may sound “bland,” as the platform notes, it recognizes that trusted price information is a key and integral part of advancing digital currencies.

Second, the platform identifies a second critical element to price discovery – physical delivery. The platform is releasing a new:

daily Bitcoin contract, which will not be traded on margin, leverage, or serve to create a paper claim on a real asset.

These qualities work to support market integrity and it differentiates the platform’s effort from existing futures and crypto exchanges, which do allow for margin, leverage, and cash settlements. In relation to this matter, the platform also stated that:

“coupled with a secure, regulated warehouse solution, you can begin to see how this market infrastructure can help more institutions and consumers participate in the asset.”

The Wall Street Journal the market capitalization reached below $200 billion, which is down 70 percent from the peak start of 2018. There are also many reports discussing venture investing, digital coin offerings, and corporate R and D, all related to blockchain and digital assets, which may surpass 2017 levels.

The platform is currently looking forward to the work ahead of it and the interest and feedback that it has received.

The Medium post by Bakkt's CEO has sparked some conversations on the good and bad news for Bitcoiners. We will highlight a few of the better ones:



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