Bakkt Warehouse, a qualified custodian of crypto trading platform Bakkt, is now accepting customer Bitcoin (BTC) deposits and withdrawals.
First physical BTC futures on the way
The launch of Bakkt Warehouse comes as the company prepares to roll out its platform for Bitcoin daily and monthly futures in the United States on Sept. 23. The platform will enable two types of physically-delivered Bitcoin futures with end-to-end regulated markets and custody, as previously reported.
According to a Bloomberg report, Bakkt will be the first platform to offer physically-delivered Bitcoin futures if launched successfully. In contrast to the existing cash-settled Bitcoin futures offered by the Chicago Mercantile Exchange and the Chicago Board Options Exchange, Bakkt’s physically-settled futures will enable clients to receive payment in Bitcoin once the futures contract expires.
Once launched, trades will take place on the futures platform run by Bakkt's parent company, the Intercontinental Exchange (ICE), while clearing will be settled through ICE Clear.
Meanwhile, custody will be operated by Bakkt Trust Company, which reportedly received a charter from the New York State Department of Financial Services to hold clients’ crypto funds in August 2019. In turn, Bakkt Warehouse will be moving Bitcoin from short positions to long positions at expiration, which will lead to the actual delivery of Bitcoin.
At press time, Bitcoin is nearling the $11,000 mark and is trading at $10,883, up 3.09% on the day, according to data from Coin360.