Bakkt, the highly anticipated digital assets exchange offering the world’s first physically settled Bitcoin futures has announced the completion of their first funding round, raising $182.5 million.
Published in a Medium post, Bakkt’s CEO, Kelly Loeffler announced the results of the first successful funding round and stated that the prolonged 2018 bear market has not affected the exchanges outlook, nor its 12 prominent partners and investors outlook.
Proclaiming Bakkt’s commitment, Loeffler said:
We have worked to build new markets and products many times before. Those of us building Bakkt have earned our stripes by helping advance markets in once-nascent asset classes, from energy to credit derivatives and, now, bitcoin. The path to developing new markets is rarely linear: progress tends to modulate between innovation, dismissal, reinvention, and, finally, acceptance.
The partners and investors supporting Bakkt on their institutional-grade digital asset exchange include; the Boston Consulting Group, CMT Digital, Eagle Seven, Galaxy Digital, Goldfinch Partners, Alan Howard, Horizons Ventures, Intercontinental Exchange, Microsoft’s venture capital arm, M12, Pantera Capital, PayU, the fintech arm of Naspers, and Protocol Ventures.
Loeffler proclaimed that herself and everyone supporting Bakkt is not focusing on the BTC price action as it is a distraction to what is happening with Bitcoin as a whole.
She noted that paradigm-shifting technological breakthroughs take a long time and price action isn’t always best for measuring growth.
Bakkt’s Goals and Objectives for 2019
Today, Bakkt focuses on achieving regulatory compliance from the Commodities Futures and Trading Commission (CFTC) so they can drive institutional access for digital assets. Besides this, Bakkt also focuses on merchant and consumer uses.
According to Loeffler, the exchange has already collaborated with great companies like Starbucks and plans to share more details on this and other collaborations as the new year unfolds.
As put by Loeffler in Bakkt’s latest Medium post:
We are focused on opportunities to provide new infrastructure, including the industry’s first institutional grade regulated exchange, clearing and warehousing services for physical delivery and storage.
Adding to this statement, Loeffler said:
Market quality, regulation, scale, security and utility are critical for establishing a strong foundation where innovation can flourish. Our first step is to establish the trust and infrastructure that builds confidence and grows participation at the institutional and merchant level
With these comments in mind, it appears Bakkt will play an integral role in the developing the cryptocurrency ecosystem and future adoption of Bitcoin and blockchain technology.
Bakkt Postponed Again?
As mentioned above, Bakkt has been working closely with the CFTC to gain regulatory approval for the newfound BTC-settled futures contracts. However, the current government shutdown in the United States may delay regulatory approval yet again.
As put in the official statement on the matter:
Following consultation with the Commodity Futures Trading Commission, ICE Futures U.S., Inc. expects to provide an updated launch timeline in early 2019, for the trading, clearing and warehousing of the Bakkt Bitcoin (USD) Daily Futures Contract. The launch had previously been set for January 24, 2019, but will be amended pursuant to the CFTC’s process and timeline.
While there will be a delay in Bakkt’s launch yet again, the exchange will continue working in the background, onboarding new customers and polishing the institutional-grade infrastructure.
Are you impressed with Bakkt’s successful fundraising round? Also, when will Bakkt finally launch and will it trigger the next bull-run? Let us know what you think in the comment section below.
