Bakkt LLC, an institutional cryptocurrency platform led by the Intercontinental Exchange (ICE), expected their Bitcoin trading to be featured in the federally regulated Bitcoin futures exchanges in early July. It was subsequently launched on September 22nd, but could not perform as expected.
The much-anticipated Bitcoin futures contracts offerings saw a bleak start, with only two daily future contracts and 71 monthly future contracts in the first 24 hours of trading, which later increased to 73, following its launch on 22nd September. As per the ICE historical data, Bakkt traded 71 Bitcoins at press time, with the trading price settled at $9875 per Bitcoin. However, the spokesperson on behalf of Bakkt tried to give positive reviews on the first day of trading on social media. He said that the currency prices are made range-bound very recently and so the institutional traders are not trying to initiate the positions in a hurry. As a result, the first day of trading got a lukewarm response. Despite trying his best to hide the inefficiencies, the crypto community was flooded with criticism and comments. Some directly pointed out Bakkt’s failure on the first day of its launch and started comparing Bakkt with its competitors who traded successfully even on the very first day.
Through the launch of Bakkt, ICE intended to create an integrated platform for merchants and consumers to buy, store, sell, and spend digital assets seamlessly across the globe. Bakkt debuted in multiple exchanges including the NYSE in the hope that this mainstream access would make the Bitcoin futures contract appear alluring to the investors. However, it did not; much to the disappointment of the crypto traders. This failure of Bakkt on its very first day of trading was a massive thrust which will need time to recover.