The highly anticipated launch of Bakkt’s physically-backed bitcoin futures has been disappointing, to say the least, posting only $5.8M of BTC trading volume in the first week. Many people in the community saw Bakkt as the catalyst to get institutional investors to enter the market. But so far, it doesn’t seem like institutions are interested.
LOW TRADING VOLUME IN THE FIRST WEEK
Bakkt has been one of the most hyped projects in the bitcoin community. It has one major difference versus the other futures offerings that are already live; the fact that its contracts are physically backed by real bitcoins. That means when investors buy contracts through Bakkt, they are buying actual BTC for that contract.
However, the launch of Bakkt has been very underwhelming. In the first seven days, there was only $5.8M in trade volume. Compare that to the $460M of volume CME futures saw on their first week, or the $700M weekly volume they see today.
Some crypto-commenters have made the argument that Bakkt adoption will be slow at first, but will pick up significantly as investors wait and see how the market works, what regulation arises, etc. Read More...