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Bitcoin Futures Exchange Bakkt Launches Two New Products

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Mon, 12/09/2019 - 15:44
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Alex Dovbnya
Bakkt follows in the footsteps of ICE by rolling out new products that leverage its benchmark Bitcoin futures contract
Bitcoin Futures Exchange Bakkt Launches Two New Products
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Bakkt, the crypto subsidiary of the Intercontinental Exchange (ICE), has launched cash-settled Bitcoin futures and options on the same day.

This comes after the big-name company introduced physically-delivered BTC futures back in September.  

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CFTC-regulated Bitcoin options

In his blog post, Bakkt COO Adam White states that the company will use the same playbook as ICE when it comes to expanding the roster of its offerings. The two new products will supplement its existing benchmark contract. 

Bakkt became the first company to get the green-light from the CFTC to launch options on futures contracts for Bitcoin. Hence, it once again becomes a trailblazer in the crypto space after racing ahead of LedgerX to introduce first physically-delivered Bitcoin futures that went live on Sept. 23. 

The option market will become even more crowded when Chicago-based CME Group makes its Bitcoin options available for trading on Jan. 13, 2020.

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A much better start

In addition to Bitcoin options, Bakkt also introduced its cash-settled Bitcoin futures that are now available on ICE Futures Singapore. Thus, CME Group should be prepared to face some tough competition. 

At press time, Bakkt has already managed to trade 1,250 BTC worth of its USD-settled contracts.

Bitcoin Futures
image by theice.com

The new product will have a much stronger start compared to physically-settled futures.

However, as reported by U.Today, Bakkt's physically-delivered futures quickly picked up pace with a hundredfold increase in volume at the end of November. 

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About the author

Alex Dovbnya (aka AlexMorris) is a cryptocurrency expert, trader and journalist with extensive experience of covering everything related to the burgeoning industry — from price analysis to Blockchain disruption. Alex authored more than 1,000 stories for U.Today, CryptoComes and other fintech media outlets. He’s particularly interested in regulatory trends around the globe that are shaping the future of digital assets, can be contacted at alex.dovbnya@u.today.