ICE’s Bakkt Provides More Details About Bitcoin Futures Contracts Set to Go Live July 22, 2019
- Bakkt starts testing phase of Bitcoin futures trading on July 22nd
- Adam White commemorates Apollo 11’s 50th Anniversary
The Intercontinental Exchange (ICE) Bitcoin (BTC) futures trading platform is expected to be testing its services as soon as July 22 this year. The information was released by Adam White, the COO of Bakkt, in a blog post. The platform has seen multiple delays over the last year due to regulatory compliance issues.
Bakkt Initiates User Acceptance Testing
Mr. White explained that the platform is going to be initiating user acceptance testing for its bitcoin futures contracts. These are going to be listed and traded through its parent company. Although the goal was to start testing the products in July, there was no specific date scheduled until now.
The contracts will have a minimum price fluctuation of $2.5 per Bitcoin. These contracts can be executed at $0.01 per Bitcoin and a listing cycle that can last for as long as 12 months. The final settlement of these contracts is going to be at the Bakkt Warehouse.
The original announcement for the Bitcoin futures trading services was made in August 2018, when the market was expecting the U.S. Securities and Exchange Commission (SEC) to approve a Bitcoin Exchange Traded Fund (ETF).
Adam White wrote about this:
“This is not a small step. This launch will usher in a new standard for accessing crypto markets. Compared to other markets, institutional participation in crypto remains constrained due to limitations like market infrastructure and regulatory certainty.”
White made reference to the Apollo 11’s 50th anniversary, saying that Bakkt is expected to initiate user acceptance testing for the Bitcoin futures listed. Thus, this tries to remember the hurdles that the company has had to face so as to provide crypto-related products for institutional investors.
Back in May, the Chicago Mercantile Exchange (CME) registered a record high volume for its Bitcoint trading futures. Nonetheless, Bakkt is expected to be settling its contracts in physical Bitcoin rather than fiat currency. White has also mentioned that they want to support the future of finance and the adoption of blockchain technology.