Is a Cryptocurrency ETF in our Future?
Can Bakkt accomplish what the Winklevoss Twins haven’t?
By Laura Carson Miller
If you remember them at all, and aren’t a regular CNBC watcher, you probably remember the Winklevoss twins, Tyler and Cameron, for their role in the whole Facebook saga, suing Mark Zuckerberg in 2004 claiming he stole their brilliant idea. Well the guys won a huge payout, I mean HUUUUUUGE, and because they are entrepreneurs (i.e. risk takers) and are tech savvy, to put it mildly, they took a chunk of their millions (roughly 11) and bought Bitcoin in 2013.
If I’ve lost you and you don’t know what Bitcoin is, it’s a cryptocurrency. Get the details here.
Last year, as the popularity of cryptocurrencies grew and more cryptocurrency options hit the market, including Ripple(XRP), Ethereum(ETH) and Litecoin(LTCUSD), the Winklevoss boys were denied the manifestation of their proposed bitcoin based ETF (exchange- traded fund) by the SEC for the second time, begging the question: is a cryptocurrency based ETF really in our future?
Enter Bakkt, a company that includes Starbucks, Intercontinental Exchange and Microsoft, plus others, is centered around consumer use of crypto currency and will, yes, allow you to use bitcoin to pay for your daily coffee habit. With a goal of being up and running by November, Bakkt looks to let institutions and consumers, buy, sell, spend and store on their new cryptocurrency platform.
Brain Kelly, lovingly known as BK or Beeks, founder of BK Capital Management and a regular on CNBC, suggests a brand as big as Starbuck partnering with a major exchange could represent a history making development in the future of a cryptocurrency ETF, as it offers a US based regulated and licensed option for warehousing of assets.
I trust Beeks to get this right, as he’s long been a bitcoin enthusiast and really knows the ins and outs of the cryptocurrency markets. I’m an active investor always looking for the next big score to fund my retirement. I’m guessing Tyler and Cameron are just looking for the next big thing, as is the life force of an entrepreneur. Onward and upward, fellas.