Marginal trading unavailable at Bakkt platform

Posted 21 August, 2018

The new integrated exchange Bakkt is said not to support marginal trading, with all transactions to be backed by assets.

A few weeks ago, NY Intercontinental Exchange (ICE) expressed intentions to launch a company that will target an open regulated ecosystem of digital assets, using the cloud service of Microsoft. For now CEO of the Bakkt project commented on services and features that potential clients can receive at the platform.

In the blog post, the company mentioned the basic features of trading, storing and spending coins. The platform strictly follows the general requirements – compliance with the regulation, pricing transparency and sufficient infrastructure for institutional traders.

"Specifically, with our solution, the buying and selling of Bitcoin are fully collateralized or pre-funded. As such, our new daily Bitcoin contract will not be traded on margin, use leverage, or serve to create a paper claim on a real asset. This supports market integrity and differentiates our effort from existing futures and crypto exchanges which allow for margin, leverage and cash settlement," said the project CEO.

As it was reported earlier, the platform is developed by NYSE and a leading financial giant Intercontinental Exchange (ICE) via close cooperation with  Microsoft, BCG and Starbucks.

In addition, ICE also expressed intentions to launch one-day physical bitcoin futures, with which traders can get payments in digital coins. For reference, the existing bitcoin futures are paid in fiats.

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21 August, 2018 17:51

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