Will Bakkt’s Monday Beta Launch of Bitcoin Futures Impact BTC Price?

Coinspeaker
Will Bakkt’s Monday Beta Launch of Bitcoin Futures Impact BTC Price?

The crypto community has been waiting for Bakkt‘s Bitcoin Futures long enough. After many delays and uncertainty, finally, the company has revealed that on 22, two days after the Apollo 11’s 50 year anniversary, it will launch the user acceptance tests.

Recently in a blog post, Bakkt’s COO Adam White explained how Bakkt along with ICE have come to this uneasy path of delivering Bitcoin Futures markets to institutions and consumers. He explained:

“This is no small step. This launch will usher in a standard for accessing crypto markets. Compared to other markets, institutional participation in crypto remains constrained due to limitations like infrastructure and regulatory certainty. This results in lower trading volumes, liquidity, and price transparency than more established markets like ICE’s Brent Crude futures contract, which has earned global trust in setting the ’s price of crude oil.” 

Can This Impact the Price of Bitcoin?

While this is called just a “user acceptance test” and will involve only several “testers”, many have started speculating, whether this will affect the price of Bitcoin.  Let remind you that Bakkt wanted to launch Bitcoin Futures in late 2018, but that deadline didn’t hold its promise and was delayed. Now we see Bakkt setting out testing dates which could indicate that the company has finally complied with the necessary rules and regulations and cleared all the concerns of the SEC.

Since this “user acceptance test” is in beta only and will be available for a limited amount of people, it itself has little chances to affect the price of Bitcoin. However, it’s obvious that after a successful test the “ deal” could come, which some investors could get in early and speculate on the event itself. Though it ’t be a huge price increase, it could shake things up a little.

When Can We Expect The Official Launch?

To put it short and easy – no one knows. Bakkt has its past of delaying deadlines multiple times. But this testing phase could indicate that the company has significantly moved forward and could come to an end in developing this relatively new financial instrument. As already mentioned above, Bakkt wanted to launch Bitcoin Futures in late 2018. The actual product launch could be weeks, maybe months away.

However, some experts raise concerns government regulations. Since the Libra announcement, altcoins and Bitcoin, in general, has seen remarkable attention from all the governments of the world, including central bank officials and so on.

While among all the talks one thing is clear – Facebook‘s Libra is worse than Bitcoin, it is not clear how the rules and regulations will be developed and updated with regards to this issue. It could be that by the time when Bakkt sets out to launch their Bitcoin Futures product, the U.S. government may have figured out a set of regulations which wouldn’t allow Bakkt to its product. However, let’s believe that Bakkt has already planned it out and that they have already complied with all the necessary regulations and licenses.

Will Bakkt’s Monday Beta Launch of Bitcoin Futures Impact BTC Price?


Source: coinspeaker
Will Bakkt’s Monday Beta Launch of Bitcoin Futures Impact BTC Price?

Related posts

How Companies Can Create Or Destroy Shareholder Value

Whintey Tilson’s email to discussing The Deadliest Mistake a Company Can Make to Destroy Shareholder Value; Record of deals; Megadeals panned; Alphabet . Apple capital allocation; Cook slams WSJ ; Charity Poker Tournament in NYC on July 24. mohamed_hassan / Pixabay 1) ’s e-mail part one of my discussion about how […]
Source: bitcoinwarrior
How Companies Can Create Or Destroy Shareholder Value

Related posts

Six Years After First Bitcoin ETF Filing, How Close are We For One?

It seems inevitable that two of the financial world’s hottest trends would cross roads with each other. For bitcoin enthusiasts and investors looking to benefit from the growing popularity of exchange-traded funds (ETF), the possibility of a derivative that tracks the value of cryptocurrencies is the best chance for connecting the two worlds.

But the chair which holds power to approve a bitcoin-based ETF is uncertain about its real-world prospects. The Securities and Exchange Commission (SEC), the US securities , is hesitant to allow a nascent and mostly unregulated market such as the bitcoin to participate in a thoroughly regulated ETF space. The core reason is bitcoin’s wild swings, which, as SEC explained, is reflective of broader manipulation and fraud cases across the cryptocurrency spot market.

Bitcoin ETF Future’s Bleak

The SEC has turned a total of nine Bitcoin ETF in the last six years. The first applicant was the Winklevoss Bitcoin Trust, a trust backed by the founders of Gemini cryptocurrency exchange, Tyler and Cameron Winklevoss.  Other applicants that got in the of the SEC’s rejection spree include ProShares, Direxion, and GraniteShares.

At the same time, the applicants that passed through the SEC’s early stages but stuck in a long-pending review process later include Bitwise and VanEck/SolidX.

The likelihood of receiving a green signal for a Bitcoin ETF has gone down in June, according to Jeff Dorman of Arca, a US-based asset management firm. The chief investment officer said in a research note that because of the cryptocurrency’s 50 percent surge and 20 percent downside in June would make it difficult for the commission to approve an ETF.

“It’s almost a slam dunk now that an ETF won’t be approved any time soon, as an 81% 14-day levered rally, most of which occurred after U.S. trading hours, is not exactly the formula for successful SEC approval,” he wrote.

bitcoin, bitcoin price, btc usd

Bitcoin has Recovered by More than 275% Since Its Bounce Back from the $3,120 Level | Image Credits: TradingView.com

Ray of Hope

The comments nevertheless appeared at a time when the bitcoin market seems more confident about an ETF approval. In late June, the SEC opened a commenting period on an ETF proposal filed by Wilshire Phoenix Fund. The New York-based asset management firm has proposed to offer shares to a combined ETF backed by both bitcoin and treasury bills.

In response, the SEC allowed the listing on the NYSE Arca Exchange following a rule-change proposal, pending the 21 day comment period. The suggestion read:

“The Exchange proposes (1) to NYSE Arca Rule 8.201-E (Commodity-Based Trust Shares) to provide for issuance and redemption of such securities for the underlying commodity and/or cash, and (2) to list and trade the shares of the United States Bitcoin and Treasury Investment Trust under NYSE Arca Rule 8.201-E, as proposed to be amended.”

The final approval for the Wilshire’s ETF proposal is still months away. In the meantime, the probability of SEC to approve a bitcoin ETF looks bleak, at in 2019.

The post Six Years After First Bitcoin ETF Filing, How Close are We For One? appeared first on NewsBTC.


: newsbtc
Six Years After First Bitcoin ETF Filing, How Close are We For One?

Related posts

Mentor Monday, July 01, 2019: Ask all your bitcoin questions!

Ask (and answer!) away! Here are the general rules:

  • If you’d like to learn something, ask.
  • If you’d like to share knowledge, answer.
  • question about is fair game.

And don’t forget to check out /r/BitcoinBeginners

You can sort by new to see the latest questions that may not be answered yet.

submitted by /u/rBitcoinMod
[link] [comments]
Source: BTC
Mentor Monday, July 01, 2019: Ask all your bitcoin questions!

Related posts

Coinbase parries Monday hack attack

, one of the world’ largest cryptocurrency exchanges was at detecting and blocking a hack attack on Monday. The attack came right after the Firefox zero- bug which the hackers exploited and tried to target the ’s employees with a phishing software. Luckily, Coinbase prides itself with industry standard security measures and managed to […]
Source: bitcoinwarrior
Coinbase parries Monday hack attack

Related posts

Coinbase parries Monday hack attack

Coinbase, one of the world’ largest exchanges was successful at detecting and blocking a hack attack on . The attack came right after the Firefox zero- bug which the hackers exploited and tried to target the exchange’s employees with a phishing software. Luckily, Coinbase prides itself with industry standard security measures and managed to […]
: bitcoinwarrior
Coinbase parries Monday hack attack

Related posts