Bakkt, an American Company that owns exchanges for financial and commodity markets and operates 12 regulated exchanges and marketplaces, said on Monday that it would provide custody services for institutional clients and they have already got their initial customers which include Galaxy Digital, Tagomi, Pantera Capital and some other firms also promised to sign on.
An expansion in the custody service of Bakkt is seen because first at its launch it used to provide bitcoin trading service but they expanded their service opportunity for a wide range of people which is really a good step up. Because of trust and security, the potential of the technology can reach way forward.
Additionally Bakkt ensures extensive physical, operational and cybersecurity that is not available in other technologies; hopefully it will help mesmerize traders to adopt this service. Relationship with Intercontinental Exchange, which has had a policy to grow through the acquisition of other exchanges, helps Bakkt to uniquely meet client needs in the digital custody space.
They provide some other fascinating features including dedicated network connectivity between operational sites, redundant secondary facilities, geographically-distributed signing operation, independent reporting structure, video monitoring, security operations, incident response team and some other fascinating features.
With an eye to supporting the geographically separated key storage feature of the exchange, Bakkt is working with BNY Mellon. The company took shelter of insurance of a leading global company which is providing it with a $125 million policy.
The company managed to offer a good number of features on existing bitcoin futures contracts and the company announced to develop a consumer app for users to purchase goods with bitcoin. On the other side, other companies started developing their own platform for physically-settled bitcoin futures.
CME Group is also in line with those companies. The new product speaks to a growing interest in bitcoin as an asset class from custodians. And Bakkt is committed to prolong access to global economy by building trust in and unlocking the value of digital assets.