BTC Deposited at Bakkt Warehouse Secured by $125M Insurance Policy

Bitcoin (BTC) deposited at the Bakkt Warehouse is secured by a $125 million insurance arrangement, as per an announcement on September 9.

The firm began accepting deposits and withdrawals on September 6, before the scheduled launch of its futures products on September 23.

It required some time and effort to receive regulatory accreditation for its forthcoming daily and monthly physically conveyed Bitcoin futures products.

Since endorsement was given, things have been full speed ahead — with deposits in its recently certified custodial warehousing solution occurring as arranged.

Updates on the insurance policy covering customer deposits expel one more worry for the institutional investors that Bakkt wants to attract.

If the launch is fruitful on September 23, it will be the first Bitcoin futures platform providing a physically delivered item, which means institutional investors will be trading with real BTC.

Current future products from the Chicago Mercantile Exchange are settled in fiat, while Bakkt customers will get payment in Bitcoin once the futures contract lapses.