Starbucks, Intercontinental Exchange (ICE), Microsoft and BCG, together are planning to launch a new platform for digital assets named Bakkt by November. This platform will allow consumers to trade, purchase, store and spend digital currencies on the global network.
Bakkt will be drawn on expertise from the renowned companies. Some include BCG, Intercontinental Exchange, Microsoft, and Starbucks, which are good at regulated markets, risk management, and customer experience.
The CEO and founder of Intercontinental Exchange (ICE), Jeffrey C. Sprecher quoted on the launch of Bakkt:
In bringing regulated, connected infrastructure together with institutional and consumer applications for digital assets, we aim to build confidence in the asset class on a global scale, consistent with our track record of bringing transparency and trust to previously unregulated markets.
About the Partnering Companies
Intercontinental Exchange (ICE) helps business to build, operate and advance the overall financial commodity markets. This company holds 23 regulated exchanges with marketplaces.
Microsoft Corporation is a multinational tech firm whose headquarters belong to Redmond, Washington. This platform is one of the well-known powerful company that owns its heritage.
Starbucks is a coffee company holding a huge coffeehouse chain, established in 1971. As of 2018, this coffee company operates in almost 28,218 locations worldwide.
The Boston Consulting Group (BCG) is one amongst the multinational management consulting firm with 90 offices in around 50 countries.
The firms together with the Boston Consulting Group (BCG) are working together on Bakkt, saying it will come to life within the next 3 months.
Starbucks and Microsoft in a Partnership
In accordance with a press release, the new cryptocurrency is all ready for the launch in November 2018 for physically regulated Bitcoin futures contract and warehouse. The Bakkt ecosystem will incorporate warehousing and federally regulated markets with merchant applications.
Its initial use cases will focus on trading and convert Bitcoin with regards to fiat currencies. They have chosen Bitcoin as today it is the string liquid cryptocurrency. This idea aims to address the emerging needs in the approximate $270 billion digital asset market area.
The applications for cryptocurrency will continuously develop alongside the rising investment in blockchain technology and regulatory frameworks as well. According to KPMG, these two sectors are halfway through 2018, which has already exceeded 2017.
By looking at the powerful regulatory infrastructure, Bakkt is forming a base, especially for the digital asset markets to emerge safely and efficiently. This platform ensures it supports the transaction flows.
The founder and CEO of BKCM, Brian Kelly says:
“Its big news for bitcoin because people say where can you spend it? Now at every single Starbucks.” “Starbucks is seeing some kind of demand for acceptance of crypto and bitcoin, and to tie up with a huge regulated institution like the ICE is really positive for the space.”
Cryptocurrency cynics have been mostly questioned on its usage for payments due to its volatility. For example, Bitcoin has dropped roughly by 50 percent this year. Also, the market has realized the value of Bitcoin fluctuates by a number of dollars within a single day.
The Vice President, Partnerships and Payments for Starbucks, Maria Smith said:
“As the flagship retailer, Starbucks will play a pivotal role in developing practical, trusted and regulated applications for consumers to convert their digital assets into US dollars for use at Starbucks. As a leader in Mobile Pay to our more than 15 million Starbucks Rewards members, Starbucks is committed to innovation for expanding payment options for our customers.”
Including Intercontinental Exchange (ICE) and Microsoft’s venture capital arm (M12), the other investors participating in Bakkt can be Horizons Ventures, Protocol Ventures, an affiliate of Fortress Investment Group, Susquehanna International Group, LLPAlan Howard, Galaxy Digital, Eagle Seven, Pantera Capital, etc.
Bakkt is currently being ready for the launch and more coming operational details will be out with the news in upcoming weeks. You can keep an eye on Bakkt.com for more updates related to the project.
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Image Source: Microsoft