Launch of Bakkt Bitcoin Futures Market May Get Postponed Again - BITCOIN NET MAGZ

Launch of Bakkt Bitcoin Futures Market May Get Postponed Again

- 22.00
Launch of Bakkt Bitcoin Futures Market May Get Postponed Again


Intercontinental Exchange (ICE), the parent company of the New York Stock Exchange, will be likely to postpone the launch of Bakkt, its own bitcoin futures trading and custody platform, another time, CoinDesk has heard.

The company last sets Jan. 24 as the launch date. However, ICE has yet to receive the necessary approvals from the U.S. The Commodity Futures Trading Commission (CFTC), and at the pace the bureau has been moved, it's unlikely that concessions will be procured in time to hit this target.

To be clear: that doesn't mean that the CFTC will not ultimately approve the strategy. A person acquainted with the agency's internal workings stated even a Jan. 30 launching was plausible, meaning that the delay may be only a matter of days.

The agency's team has completed reviewing Bakkt's exemption petition and passed it to the commission on Friday, one source said. Now the commissioners must vote whether to put the suggestion for public opinion. After the 30-day comment period, the commissioners would likely take at least a couple days to read the remarks, then vote on the proposition.

So unless all these government officials choose to work on their off days, the earliest the commissioners are very likely to vote for a public comment period and thus begin the 30-day clock will be Wednesday, Dec. 26, the day following Christmas.

That would push any last vote beyond Bakkt's Jan. 24 launching goal, despite taking into consideration the time needed to browse the general public comments. The possibility of a U.S. Authorities shutdownthreatens to further delay the procedure.

The exchange is very likely to issue an upgraded launch target date, however, not before next week, another source said.

This would be the next postponement. ICE had initially planned to launch Bakkt in December, but last month it stated that the"volume of interest" in the company and the"work needed to receive all the bits in position" required a delay.

Contrary to the bitcoin futures offered by CME Group and also Cboe, Bakkt's will likely be settled, meaning actual bitcoin will transform hands rather than cash when the contracts expire.

 

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