Bakkt Full Data File | The Business Of Crypto

Bakkt Crypto Intelligence

Bakkt, a subsidiary of Intercontinental Exchange, is building an open, seamless global network to enable you to buy, sell, store and spend digital assets simply, safely and efficiently.

You are reading about: "Bakkt"

By Chris A.

Published September 25, 2018



Bakkt, a subsidiary of Intercontinental Exchange, is building an open, seamless global network to enable you to buy, sell, store and spend digital assets simply, safely and efficiently.

Bakkt: About the Platform

Bakkt’s solution is meant to be an open-source, neutral platform designed to meet regulatory requirements.

This will open the blockchain space to investors who require a secure platform and are not comfortable with non-custodial solutions.

The Problem

Custodian service is an establishment that guarantees to securely hold someone else’s assets.

In the cryptocurrency space, custody gets complicated as the blockchain technology is still nascent: Even when applying extreme measures there is still chance that a vulnerability might appear leaving an asset irretrievably lost if not handled well.

That is why businesses with expertise in finance rather than in emerging technology prefer to use third party solutions for cryptoasset storage and custody.

However, the unclear regulatory standards make it difficult for anyone to actually offer this type of services.

Bakkt can effectively create a stepping stone for other businesses that want to come up with crypto custody solutions, warehousing or safeguarding of cryptoassets.

For now, Bakkt is only planning to work with Bitcoin.

  • We are monitoring the business of cryptoasset custody here

Bakkt’s Plans

Bakkt will act as a business crypto custody supporting regulated institutions in the blockchain industry. This solution will be more cost-effective than business custody products presently available and will also make trading and spending of the cryptoasset possible.

The difference between having exposure via Bakkt and trading a Bitcoin futures product (such as CBOE) is that positions via Bakkt are pre-funded: Bakkt purchases Bitcoin first and then it will offer its customers direct exposure via the funds it holds.

This proposition is expected to support innovation in blockchain applications development and make digital asset markets more liquid.

In coordination with Bakkt, ICE Futures US and ICE Clear US plans to launch physically delivered bitcoin futures, once approved by regulatory organizations.

The Business Intelligence for Bakkt

Bakkt is a subsidiary of Intercontinental Exchange with headquarters in Atlanta, USA at 5660 New Northside Dr NW.

Bakkt’s Plans

At first, Bakkt is planning to address requirements of regulated institutions and their clients and stakeholders.

Bakkt is certainly not the first ever initiative with the goal to make cryptoassets more liquid and accessible.

The CEO Kelly Loeffler mentions the following points as competitive advantage of Bakkt:

  • Leveraging already established infrastructure of regulated futures markets: Institutional-grade on-boarding and compliance will be included in the process of physical delivery and custody of BTC.
  • Bakkt’s futures contracts will be physically delivered in BTC, not in a fiat currency.
  • State of art security: Safeguarding of crypto assets is an emerging industry. Bakkt claims to be using methods like biometric scans, sharding and multi-sig.
  • Bakkt will rely on different participation agreements than OTC markets, other than that it is also subject to different standards of regulatory oversight and reporting.

For cryptocurrency traders, it is worth expanding on the last point:

Bakkt will be working against the fragmentation of markets and information we see on the cryptocurrency markets. For instance, OTC makes a major part of today’s bitcoin transaction volume but there is no information about it available other than for the parties directly involved in each transaction. Bakkt on the other hand will actively contribute to the price discovery process on cryptocurrency markets.

Standards of the procedures necessary to implement these points are subject to final review and approval by the US CFTC.

Bakkt’s Partnerships

The Bakkt project itself was started by finance industry heavyweights - ICE, Bakkt’s parent company, is the owner of the New York Stock Exchange (NYSE) and therefore has an established business relationship with banks like JP Morgan.

The project leverages several high-profile partnerships:

  • Bakkt is backed by Intercontinental Exchange’s already established financial market infrastructure and technology.
  • Microsoft is contributing to Bakkt through their cloud computing platform Azure.
  • Starbucks will be the Bakkt’s flagship retailer.
  • Bakkt will also be launched in partnership with Boston Consulting Group.

Filed under: Institutional Trading

Security Cryptoasset Custody Legal Markets Regulations Trading Platforms


Data is beautiful

Brand development in forex and crypto: Most expensive domain names [Infographic]

Crypto infographics - Most expensive domain names in forex and crypto. Targeted brand development in forex and crypto with domain names.

Published October 12, 2018 by LK / forexnewsnow
Editor's note: Infographic | Crypto and forex brokers opt for a really crisp domain name.
Tagged as Infographics

Top 8 Women in Blockchain Technology [Infographic]

When it comes to women in crypto, the pre-2016 OG heads will probably come up with names like Alena Vranova and Blythe Masters. Alena Vranova is the former CEO of Satoshi Labs, the company that...

Published November 14, 2018 by Guest
Editor's note: Two OG crypto women that you don't hear much of anymore plus a crypto infographic about 8 women who work in blockchain tech.
Tagged as Infographics

Blockchain Consortium in Trade Finance: 6 Notable Networks [Infographic]

The success of trade finance blockchain implementations depends on how widely they are adopted. That's why we have seen businesses form consortia based on similar interests.

Published October 21, 2018 by Guest

Tagged as Infographics

Comparing Forex Market with Cryptocurrency Markets [Infographic]

One of the few metrics that cryptocurrency markets have in common with the forex markets in 2018 is the high percentage of total trades being located on few most popular markets.

Published June 10, 2018 by Guest
Editor's note: Still a long way to go for crypto markets.
Tagged as Infographics

Blockchain Technology 101: Blockchains, Blocks and the Role of Price [Infographic]

Blockchain technology 101: What is blockchain, what types of blockchains exist and what role does the cryptocurrency price play.

Published July 31, 2018 by Guest
Editor's note: What is blockchain, what types of blockchains exist and what role plays the price of cryptocurrencies.
Tagged as Infographics

Real-world companies that accept crypto payments [Infographic]

Infographic - Graphic map of businesses that let customers pay in bitcoin.

Published May 31, 2018 by Guest
Editor's note: Graphic map of businesses that let customers pay in bitcoin.
Tagged as Infographics

Infographic: Blockchain Hacks & Crypto Trading Platform heists 2018 vs 2017

Blockchain infographic comparing the biggest crypto heists of 2018 and 2017. In 2017 the focus lied more on ICOs, smart contracts and wallet.

Published July 10, 2018 by JMT
Editor's note: In 2017 the focus lied more on ICOs, smart contracts and wallet.
Tagged as Infographics

15 crypto kings that are making history with their engagement in the field of cryptocurrencies

Coining The Bucks With Cryptocurrencies Have you ever wondered how much masters of the cryptocurrencies are worth? Like the guy who founded Ethereum, or the one who started Ripple, for example. The answer, in short,...

Published May 30, 2018 by Guest
Editor's note: Infographic: 15 ultra-rich blockchain entrepreneurs and how they get into crypto
Tagged as Infographics

The Good And The Bad Of ICOs

Infographic: The good and bad of ICOs - Which token sales raised the most money in 2018?

Published May 30, 2018 by Hristina
Editor's note: Despite the DAO failure, ICOs grew into an established form of startup funding.
Tagged as Infographics

How Blockchain Disrupts Business [Infographic]

Published May 31, 2018 by Guest

Tagged as Infographics

How to spot cryptocurrency scams

Published May 30, 2018 by Guest
Editor's note: Infographic by the NOAHcoin team
Tagged as Infographics

All Infographics

Industry News Releases


comments powered by Disqus
About the Author
By Chris A.

BIO: Chris belongs to the crypto trader class of 2013 and he's mostly writing on the topic of crypto trading and security. Located in the Americas most of the time, but you're most likely to meet him on Reddit as u/KarlVonBahnhof. ·

Also by Chris A.

Powered by Contentful