Bakkt enters into partnership with Galaxy Digital, Mike Novogratz‘s company. The goal of the two companies is to provide even better means to buy, sell and store Bitcoin with services directed at institutional investors.
The agreement brings together Galaxy Digital through its Galaxy Digital Trading, dedicated to sophisticated trading operations, and Bakkt Warehouse, the Bakkt solution for Bitcoin custody services. Their partnership aims to offer customers the best possible service in terms of trading and custody of digital assets.
Tim Plakas, Head of Sales at Galaxy Digital Trading, described this “alliance” as a response to the growing demands from traders, experienced by both Bakkt and Galaxy. They expect to find in the crypto market the same expertise and knowledge they find in traditional markets:
“Galaxy provides that, while Bakkt delivers the high level of regulatory-compliant security required for storing digital assets. Together, Galaxy Digital and Bakkt offer a safe, efficient, and well-regulated route into physical bitcoin access, one that has been already proven successful in the macro hedge fund space”.
For John Conneely, responsible for the development of Bakkt’s custody business, the agreement with Galaxy Digital is strategic:
“As one of the largest trading operations in the digital asset space, Galaxy Digital’s execution expertise and Bakkt’s custody solution are highly complementary”.
Bakkt and Galaxy Digital bringing Bitcoin to institutions
Bakkt continues its expansion. Since launching its futures product with underlying in Bitcoin, it has seen its volumes grow, particularly during the busiest periods for the cryptocurrency market.
As explained by the CEO, Adam White, the goal is to make digital assets a mainstream product.
An opinion similar to that of Mike Novogratz, who is one of the most famous bitcoin enthusiasts, to the point of defining BTC the only true digital gold.
An idea which he conveyed to his Galaxy Digital, which can boast of having traded bitcoin and cryptocurrencies for a total amount of 1 billion dollars in the first quarter of 2020.
The collaboration between the two companies can only lead to easier adoption of Bitcoin and cryptocurrencies for institutional investors.
Moreover, recent research shows that the interest of institutional investors towards the crypto sector is growing steadily, but one obstacle is the lack of suitable financial tools. The long-awaited solution could come from Bakkt and Galaxy Digital.