ICE’S BAKKT PAVES WAY FOR INSTITUTIONAL INVESTORS, EXPERTS HOLD

The digital asset platform Bakkt has one feature which the market has been “crying for” according to CEO of an institutional Forex exchange.

“THIS IS WHAT THE MARKET HAS BEEN CRYING FOR”

David Mercer, CEO of LMAX Exchange – the institutional exchange for global Forex trading as well as the operator of cryptocurrency exchange LMAX Digital, thinks that Bakkt’s 1-day futures contract which physically delivers bitcoin is the game changer the market has been looking for.

LIONBIT

Unlike cash-settled futures contract where the trader receives or pays the difference between the price $6317.87 -0.43% at which he purchased the contract and the price of its settlement, physical-settled ones remunerate the trader with a physical bitcoin.

According to Garret See of the investment firm DV Chain, this makes trader a lot less risky and it also facilitates better arbitrage trades. Fundstrat’s Tom Lee also holds that this is a substantial advantage over existing cryptocurrency exchanges like Binance and Coinbase.

This feature of Bakkt, though, resembles the commodity-backed VanEck/SolidX bitcoin ETF proposal – arguably making the latter redundant.

“A VERY, VERY BIG DEAL”

Physically-settled bitcoin futures would also mark a key development in the market because they would require a bitcoin infrastructure to transfer cryptocurrencies. Furthermore, they would also require the go-ahead from the Commodity Futures Trading Commission (CFTC).

TIP

Bakkt is intended to have all of the above handled:

As an initial component of the Bakkt offering, Intercontinental Exchange’s U.S.-based futures exchange and clearing house plan to launch a 1-day physically delivered Bitcoin contract along with physical warehousing in November 2018, subject to CFTC review and approval. – reads the official release.

Patrick Rooney of Trading Technologies commented on the matter, saying:

That’s massive. A very, very big deal.

Novogratz Invests $15 Million in White-Label Cryptocurrency Exchange Startup
Others have also expressed the importance of a custody solution from a trusting source. According to investment expert Mike Novogratz, this is what would drive the next big increase in Bitcoin’s price:

I think the next move up is going to need custody from a trusting source. It’s going to need a little more regulatory clarity. […] We wouldn’t take out $10,000 without those two things because that’s what brings the institutional investors in. But we’re going to get there.


Here at Dollar Destruction, we endeavour to bring to you the latest, most important news from around the globe. We scan the web looking for the most valuable content and dish it right up for you! The content of this article was provided by the source referenced. Dollar Destruction does not endorse and is not responsible for or liable for any content, accuracy, quality, advertising, products or other materials on this page. As always, we encourage you to perform your own research!

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Author: GEORGI GEORGIEV
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Why Ripple Should Still Be In Your Crypto Portfolio

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Times have been hard for any Ripple (XRP) HODLer who has seen the coin zoom past the competition and peak at $3.82 on January 4th, only to drop to $0.62 less than a month later on February 6th. This is a big drop in value (84%) for XRP in such a short time period.

Some traders cashed out and headed for the hills; but there are the few who are still HODLing in anticipation of the $10 value predicted by SBI Holdings CEO and President, Yashitaka Kitao.

So why should you still have XRP in your portfolio?

To begin with, the xRapid tests proved that it can save money remittance service providers anywhere from 40% to 70% in terms of transaction costs away from the traditional foreign exchange middle men. Also, the transactions that took 2 days was reduced to 2 – 3 minutes via xRapid.

Ethereum World News would then explore how xRapid works and found out that the service will be using the XRP in circulation. This means as the remittance service providers of Moneygram and Western Union start using the service, then it is a Moon Shot for the coin.

The XRP for the transactions, will be sourced directly from the markets.

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A second reason why you should still have XRP in your portfolio is the continual listing of the coin in exchanges and Mobile Wallet apps. XRP has just been listed on the Revolut App that is based in the UK. Also to add, is the listing on the LMAX Exchange also from the U.K, that has a target customer base of institutional investors. Another exchange worthy of mentioning, is the highly anticipated SBI Virtual Currencies exchange that has been scheduled for release this Summer.

Yashitaka Kitao, the CEO of SBI Holdings, has promised that this exchange shall be number one.

The third, and not the last reason why you should still HODL XRP, is the vision of interoperability held by not only David Schwartz who is a key cryptographer at Ripple, but by the entire project. Ripple was envisioned itself as being the one stop solution for cross-cryptocurrency payments.

Mr. Schwartz had this to say about interoperability at the recently concluded TNW Conference in Amsterdam:

“From the earliest days our vision was to create a cross currency system built on interoperability. There should be a system where paying in any currency is possible.”

So there you have it ladies and gentlemen. These are a few – but not all – the reasons why you should still have XRP in your portfolio. What is a high possibility, is that XRP will be the choice in the future for all remittance services around the globe.

To The Moon!


Here at Dollar Destruction, we endeavour to bring to you the latest, most important news from around the globe. We scan the web looking for the most valuable content and dish it right up for you! The content of this article was provided by the source referenced. Dollar Destruction does not endorse and is not responsible for or liable for any content, accuracy, quality, advertising, products or other materials on this page. As always, we encourage you to perform your own research!

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Author John P. Njui 
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