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Intercontinental Exchangeâs Bakkt platform has traded 71 Bitcoin futures contracts in the first 24 hours following its launch.
Intercontinental Exchangeâs (ICE) Bakkt platform has traded 71 Bitcoin (BTC) futures contracts in the first 24 hours following its launch on Sept. 22.
According to ICE historical data on Bakktâs Bitcoin/USD futures contract trading, the platform has traded 71 BTC at press time, with the last recorded trading price settling at $9,875 per Bitcoin.
Bakkt Bitcoin (USD) monthly futures contract. Source: ICE
In an analysis for Cointelegraph earlier today, Rakesh Upadhyay wrote that the lukewarm reception to the Bakkt launch is likely due to the fact that the currencyâs price has been range-bound recently, so institutional traders are in no hurry to initiate positions.
Initial margin limits for Bakktâs futures trading
A few days prior to the platformâs launch, ICE determined tentative margin requirements for the contracts. The initial hedge requirement for daily and monthly futures contracts is $3,900, while the speculative initial requirement for both contracts is $4,290.
The inter-month add-ons for the monthly and daily futures contracts are between $400 and $1,000 for the hedge rate and between $440 and $1,100 for the speculative rate.
Impetus behind Bakktâs launch
The newly-launched platform â which is the first of its kind to receive approval from United States regulators â was initially announced a year ago. By establishing Bakkt, ICE intended to create an integrated platform that enables consumers, merchants and institutional clients to buy, sell, store and spend digital assets on a âseamless global network.â
Following Bakktâs launch, Bakkt CEO Kelly Loeffler said the institution provides âreliable and regulated infrastructureâ while pushing for the âadoption of new digital currency-powered technology and financial instruments.â
Industry playersâ reaction to Bakktâs launch
In anticipation of Bakktâs launch, Fundstrat Global Advisorsâ Thomas Lee argued that Bitcoin and cryptocurrencies will gain a better reputation from Bakkt, thus joining the increasing number of Bitcoin figures bullish about Bakktâs impact on the space. Lee wrote, âI am very positive on Bakkt and its ability to improve trust with institutions to crypto.â
American investor and Morgan Creek Digital Assets co-founder Anthony Pompliano said that Bitcoin will end up in every institutional investorâs portfolio:
"The more infrastructure that's built around this, the more likely it is to never go away [...] we're at a tipping point now where Bitcoin is here to stay. Itâs going to end up being in every institutional investorâs portfolio.â
Disclaimer
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