Bakkt Begins Hiring for Futures Exchange Despite Delays

John Vibes

Bakkt, the bitcoin futures exchange, has faced a series of roadblocks this year which has forced the team to delay their launch multiple times. Now the launch has been delayed indefinitely, as the team waits until they are granted approval by the Commodity Futures Trading Commission (CFTC). The ongoing government shutdown in the US has reportedly played a major role in the recent approval delays.

However, Bakkt is still making progress. This week, CoinDesk reported that Bakkt has launched a hiring campaign, posting eight new positions to their website.

According to the listing, Bakkt is seeking experienced developers for mobile and blockchain applications, an institutional sales manager with experience in North America or Asia; and three management positions including a director of finance, director of security engineering and director for blockchain engineering.

Bakkt was also able to secure $182.5 million in funding before their launch.

About Bakkt

Bakkt is a platform developed and funded by the Intercontinental Exchange (ICE), the parent company of the New York Stock Exchange (NYSE). Bakkt is one of many institutional organizations from the legacy financial system to recently enter the cryptocurrency industry, but they are by far the most established and well connected. As CryptoGlobe reported late last year, Adam White, former Vice President and General Manager at Coinbase recently joined Bakkt as their chief operating officer.

The backing of regulated institutions like ICE will undoubtedly make many investors more comfortable trading cryptocurrencies. However, not everyone is excited about traditional financial institutions getting involved in cryptocurrency markets. Last year, CryptoGlobe reported that Dogecoin creator Jackson Palmer warned his followers about Bakkt specifically, suggesting that institutional influence could turn the cryptocurrency industry into "Wall Street 2.0."

Notable Bitcoin Trader and Whale Not Bullish on the Hyperinflation Narrative

Colin Muller

Highly regarded Bitfinex trader and crypto whale J0E007 is not banking on the hyperinflation narrative, which is a highly popular notion in the cryptoasset industry, implying it's a fairy tale.

Screenshot from 2020-05-26 13-23-22.png(source: Bitfinex pulse)

This narrative, exhibited for example here, proposes that the aggressive fiscal and monetary intervention on the part of many central banks around the world will eventually lead to sharp devaluations in the values of many fiat currencies—and most importantly of the U.S. dollar.

Propagation of this concept of rampant fiat inflation in the cryptoasset space is generally tied to predictions of a huge increase in the price and/or market capitalization of Bitcoin and other cryptos, although most focus on the flagship cryptocurrency.

A Little More Complicated

In his post, JOE007 linked to a recent report from Alhambra Investments, an asset management and financial research outfit.

The report details lead analyst Jeffrey Snider’s view that the dollar is not going anywhere in terms of demand, although definitely not by virtue of the competence of the U.S. Federal Reserve in handling the unfolding economic crisis lit by COVID-19.

Conceptually, first, any strong desire to hold expensive dollar liquidity buffers is drawn from serious mistrust of systemic conditions – including the central bank’s place in them. If you thought Jay Powell well prepared in advance with effective countermeasures standing at the ready, buffers of any size need not apply.

Jeffrey P. Snider

In short, Snider contends that the Fed under chair Jay Powell has not responded appropriately to the emerging crisis with “effective countermeasures at the ready”; and this bungling in turn has led to a higher international demand for US dollars in order to sit on a larger and safer cushion of “expensive dollar liquidity buffers.”

A complicated subject, to say the least. The upshot for J0E007 being that the dollar-collapsing narrative may have some big holes in it—removing the keystone of that popular Bitcoin use-case narrative.

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