Bakkt CEO: Right Regulation Will Help Cryptocurrencies to Thrive
The CEO of highly anticipated Bakkt Platform, Kelly Loeffler said on Wednesday that the right set of regulations will help cryptocurrencies to achieve greater things than ever imagined. Loeffler was one of the speakers during the Fintech Forward 2018 event. The event was hosted by US Commodities and Futures Trading Commission (CFTC) to focus on challenges and opportunities about Blockchain and cryptocurrencies.
Loeffler said just like the energy sector managed to do it back in 2002, the regulators and crypto companies need to work together to create a better atmosphere across space. Loeffler noted, energy industry managed to do it that way and saw the good results of this approach as the energy sector continuously improved by year to year and achieved a great set to of results.
Loeffler warned SEC and CFTC also need to follow the same route as she said:
“We all can acknowledge [attendees in the conference] that with regulation, markets can safely innovate and flourish.
To speak about Bakkt, they are a company of the New York Stock Exchange (NYSE) owner IE. The platform expected to bring lots of institutional investors to the cryptocurrency space and many investors and followers hoping the launch of the platform will trigger the next bull run of Bitcoin.
Loeffler explained, the platform decided to offer physically-based Bitcoin (BTC) futures because it wants to target institutional investors with regulated crypto products and the company is still in the process of CFTC approval for these contracts.
Loeffler was joined by Richard Gorelick. Gorelick is the head of marketing at a company called DRW, who owns OTC trading provider Cumberland. The company also recently invested in the upcoming cryptocurrency exchange called ErisX.
Gorelick said some of the old regulatory regimes could certainly be used in the cryptocurrency industry, but he said the regulatory bodies also need to offer some refreshing and new insights across the sector.
Gorelick said the regulators need to fill existing legal gaps and have to insert smart rules. He said:
“We need smart regulation not just to protect investors and consumers in the space which is essential but also to clear the way for the responsible market participants to invest and build in this [crypto market].”