Bakkt is a digital asset platform of the Intercontinental Exchange (ICE). It launched the first cash-settled futures and regulated Bitcoin options in the United States.
Bakkt’s chief operating officer (COO) Adam White announced the news in a blog post.
Adam White also notes that by starting with the physically delivered Bakkt Bitcoin Monthly Futures, there is a benchmark contract. Furthermore, it provides the foundation for the platform to develop complementary products based on the needs of the customers, a blog post says.
According to an announcement, Bakkt now utilizes its physically settled Bitcoin contracts as a benchmark to build complementary products.
The Bakkt’s monthly options product is the first regulated Bitcoin futures contract regulated by the U.S. Commodity Futures Trading Commission (CFTC), the post says. According to the announcement, price discovery occurs within a federally regulated market. Also, it has no exposure to unregulated Bitcoin spot markets.
BTC Options Regulated by CFTC for the First Time
The cash-settled futures product is a new contract that will be available on an approved exchange in Singapore – ICE Futures Singapore. Moreover, the contract provides an option for participants who are unable to trade the company’s physically delivered contract, the post says.
The announcement comes after Kelly Loeffler, Bakkt’s chief executive officer (CEO), delegation to the United States Senate seat. Consequently, Loeffler will replace Senator Johnny Isakson, who is retiring at the end of the year, the media reports say.
Bakkt is one of the most promising crypto-related initiatives to date. This is because its physically settled Bitcoin futures have become one of the most discussible products in crypto society.
Bakkt has continued to grow, gaining momentum on crypto markets, while the platform reported low volumes at the launch in September. On the other hand, Bitcoin futures open interest on Bakkt hit the all-time high of $6.5 million, in December.
