Bakkt, an ICE-backed cryptocurrency exchange, has recently hired a Coinbase vet Adam White, the company’s CEO Kelly Loeffler announced in her recent Medium post. Before joining forces with Bakkt, White had been with Coinbase from the very onset of its existence.
Over these years, Coinbase, spearheaded by Brian Armstrong, has made a long way from a small San Francisco-based exchange to a global one with 25 mln users around the world. As U.Today reported earlier, Coinbase UK alone made more than £127 mln in 2017.
According to Fortune, Coinbase gracefully reacted to White’s departure, claiming that “they wish him all the best.” On top of that, they are glad to see an emerging ‘Coinbase Mafia’ that is occupying the whole industry.
The fight for institutional money
There has been a lot of hype surrounding the ICE-backed Bakkt exchange that wants to allow professional and institutional investors to trade cryptocurrencies. After the exchange launches in November 2018, they will able to invest their 401k or IRA into Bakkt.
While some cryptocurrency enthusiasts are slamming White for siding with the establishment, he tells Fortune about how the investor’s stance on cryptocurrency has been gradually changing over the past few years. He claims that the major shift happened in 2018 when more institutional investors started dipping their toes in cryptocurrencies, but there was no appropriate platform to tap their appetite. However, the federally regulated exchange is going poised to be an icebreaker.
Not deterred by market bears
White is certain that the current market sentiment doesn’t accurately represent the investor interest in cryptocurrency. Just like Mike Novogratz, he predicts that there will be an influx of institutional money. Progress in technology and the number of daily transactions (which is constantly growing) are the two things that crypto defeatists should take into account, White claims. He also has mentioned the recently launched Liquid Network that would instantaneously conduct transactions, eliminating the issues connected to the availability of liquidity.
The Bakkt exchange is expected to be launched this November, and a “full package” of trading, clearing and custody will be available as early as December.