A Basic Introduction To Bakkt
The crypto-verse is at a standstill as all fans and enthusiasts patiently await the launch of a platform known as Bakkt.
There is a release date set for it already but most people are still confused about the whole fuss concerning Bakkt and others simply have no idea what Bakkt aims to do in the cryptocurrency industry.
At this point, the main goal of this article is to enlighten readers on what Bakkt is all about.
What Is Bakkt?
On a general note, Bakkt is a custody platform that is being regulated and serves as a tool for the buying, storage, and selling of all virtual assets. These are the virtual assets that have been targeted at:
- Traders, and of course;
Right from its inception, the plan of Bakkt has always been to provide not just daily but also monthly physical Bitcoin futures and provide more derivatives in the nearest future.
Additionally, it is vital to have an idea on the person or company that established Bakkt. Bear in mind that Bakkt was founded by the intercontinental exchange, also known as ICE.
For those who have no idea on what ICE is, however, they are the people responsible for the biggest stock exchange that goes by the name NYSE; New York Stock Exchange.
This means that ICE will make use of similar futures market infrastructure that it used on NYSE for its Bakkt platform as well.
Furthermore, this yet to be launched Cryptocurrency exchange platform will operate according to the CFTC; Commodity Futures Trading Commission regulations.
And, it will be complying with both of the rules of KYC and AML as well as the federal reporting standards.
How Will Bakkt Impact The Crypto Industry?
In simple terms, Bakkt will handle how virtual assets are being purchased, traded, kept and even spent in a very safe and highly efficient way.
ICE aims to change Bitcoin into a much more trustworthy universal currency that has a vast usage. To achieve this, Bakkt is their only attempt to ignite such a transformation.
Furthermore, the impact Bakkt will have in the Cryptocurrency industry is one that will enable Cryptocurrencies like Bitcoin to be effectively traded either on leverage or a margin.
Basically, users should expect Bakkt to trade Bitcoin cryptocurrency. All that makes Bakkt totally different from every other cryptocurrency exchange includes:
- It has a steady regulatory construct
- It is transparent, and has a very efficient price discovery, and;
- It has a quality pre-trade and post-trade infrastructure
Moreover, Bakkt is set to offer a secure and regulated warehouse solution that all other institutional investors and consumers can trust.
To Wrap It Up
The plans that Bakkt has for the cryptocurrency industry are big and the platform is bound to work effectively in a bid to satisfy every one of its clients and push its major agenda which is to take Bitcoin to the mainstream for it to be universally accepted.