Bakkt acquires digital asset escrow company and enters cryptocurrency market in three ways

Bakkt, a cryptocurrency startup founded by the Intercontinental Exchange, the parent company of the New York Stock Exchange (NYSE), once again unveiled part of its blockchain program.

The company announced today that it has acquired digital asset custody company DACC (Digital Asset Custody Company), which will be an important step in the regulatory approval of its cryptocurrency products.

Crypto

It is reported that Bakkt is more concerned with providing institutional hosting and payment platform services, rather than just establishing a bitcoin exchange, which requires regulatory approval.

Bakkt acquires cryptocurrency company

The company recently announced its application for BitLicense and is working hard to become a trusted company in New York. Despite the partnership with companies such as Starbucks and Microsoft, the company's efforts have been hampered by regulatory delays.

Coinbase previously received a trust charter from the New York Financial Services Agency (NYDFS). Compared with BitLicense's application time of several years, the waiting time for obtaining such a license is shorter. Bakkt said that they have applied for this license and are also looking for BitLicense.

Bakkt hopes to offer bitcoin futures contracts settled in cryptocurrency, which will differentiate it from other bitcoin futures products. Bakkt is still working on other projects, but before the final launch, there are still some fixed processes to go.

Bakkt Chief Operating Officer Adam White said:

In order to provide a compliant hosting service, we have applied to NYDFS for approval to become a trusted company and in this capacity become a qualified digital asset custodian. With the same commitment to establish a new standard for secure storage of digital assets, we are pleased to announce that we have acquired DACC. DACC has accumulated a wealth of experience in adhering to the "safety first" philosophy and providing institutional customers with secure, scalable hosting solutions. The team's integration of multiple blockchains and experience in running frontier consensus mechanisms is a valuable addition to our team and future product lines.

Bakkt CEO Kelly Loeffler said in an interview:

The digital asset hosting solution that ICE has established over the past two years is the safest.

Asset Custody: The Key to Bitcoin Popularization?

Both Bakkt and Coinbase claim that providing a secure, modern hosting solution for cryptocurrencies will encourage institutional investors to expand their portfolios. So far, Coinbase and Circle products have not had a major impact on the market.

The traditional asset management company Fidelity's hosting plan is also nearing completion. Even if some choices do not necessarily meet investor preferences, in the future bull market, the existence of hosting schemes may play a crucial role. If institutional investors are considering entering the market, they will have at least several popular options that were previously impossible.

Bakkt is currently in three ways:

– They have acquired a company that is engaged in digital asset custody business.

– They have applied for BitLicense.

– They are working hard to become a registered trusted company.

They may also seek other ways, such as not entering the New York market for the time being. To be sure, the company is eager to participate in this game, and from the recent market activities, it may not be far from their entry.