Galaxy Digital Cryptocurrency Investment Fund and trading company OTC XBTO launched the first blockchain trade in Bakkts futures contracts.

Intercontinental Exchange (ICE), Bakkt's parent company, announced trading on Friday but did not announce its size. Block trading is a large transaction that takes place outside the free market to avoid cost overruns.

The deal, which took place on Tuesday, followed the disappointing launch of Bakkt which was busy last week, which traded just over $ 5 million in the first five trading days.

After two years, Bakkt is the first direct market in the US to physically send Bitcoin futures. This means the buyer receives the main product.

Although Bakkt's debut was unsuccessful, Galaxy Digital and XBTO have put confidence in the platform.

"As the digital asset class matures, we see the introduction of Bakkt as an important part of the market infrastructure," said a news release from ICE.

XBTO announced in a statement that it had bought the first Bitcoin futures besides participating in the blockchain trade last week.

New Bitcoin futures contracts are closely monitored by crypto investors and the wider financial community. It was billed as a product used to collect funds from institutional money managers such as hedge funds, pension funds and donations.

Galaxy Digital is led by Mike Novogratz, former CEO of Goldman Sachs, who later heads the Fortress Investment Group hedge fund. XBTO's CEO is Philip Behazi, a former hedge fund for Citibank and Stephen Cohen.

The Atlanta ICE Friday press release did not state whether the blockchain trade is carried out in a completed monthly or daily futures contract.

READ  How To Earn Free Bitcoins ? 5 Minutes BTC Tutorial ! 100% Worldwide Guaranteed !

During the first two weeks after the start of trading, almost all activities are carried out on a monthly contract, but even there the activity is disappointing.

Some market analysts even stated that slow absorption contributed to the drop in the price of Bitcoin last week, because institutional investors were in low demand. Most retail investors are currently inclined to new futures contracts launched in late 2017 from the Chicago-based CME Stock Exchange.

In the first four days of this week, only 260 Bakkt monthly futures contracts changed hands on Thursday to $ 2.1 million with a final price of $ 8,152 for bitcoin. Although data is not available on Friday, the pace of trading was below the volume of 623 contracts last week, which is estimated at more than $ 5 million.

On Tuesday, when the blockchain trade passed, 27 of the monthly contracts traded only $ 226,584, based on the close of the day. No volume is recorded in the daily contract for today.

Bitcoin prices changed slightly to 17:00 UTC on Tuesday within 24 hours, even though they had fallen more than $ 10,000 before the launch of the Bakkt contract on September 19, based on the Bitcoin CoinDesk index.


CoinDesk’s Michael Casey with Bakkt CEO Kelly Loeffler and ICE chairman and CEO Jeffrey Sprecher, image via CoinDesk archives

Source link

Spread the love

Add a Comment

Your email address will not be published. Required fields are marked *