I am wondering why Bakkt chooses to settle it in
CASH instead of
BITCOIN?
Is Bakkt still crypto currency friend? or may be these are US aim to pull down bitcoin?
Bakkt prepares to offer cash-settled bitcoin futures. Bakkt announced the development in a press release issued on Nov 21st. The new contract will be listed on ICE Futures Singapore and cleared by ICE Clear Singapore, which is regulated by the Monetary Authority of Singapore.
Bakkt wants to set itself apart from its rival CME who currently leads the institutional-driven cash-settled Bitcoin futures contract. The new Bakkt cash-settled Bitcoin futures contract will be listed on Dec 9th and available for investors around the world. On the same day (Dec 9th), Bakkt will also offer Bitcoin options to its investors.
CME is also working to launch a Bitcoin options contract. Currently, its application is pending regulatory approval and expected to launch by Q1 2020. CME launched its Bitcoin futures trading in late 2017. The launch during Bitcoin bull run and head start allowed CME to gain a large market share.
Source:
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