The CEO of the Intercontinental Exchange (ICE) expects the agency’s digital asset platform Bakkt to launch later in 2019. The remark was made by ICE CEO Jeff Sprecher throughout an earnings call Thursday, Feb. 7.
The name was devoted to ICE’s monetary outcomes for This autumn and the total 12 months of 2018. Sprecher defined that the corporate spent over $1 billion on strategic initiatives, together with on the launch of the digital asset platform.
ICE operates 23 main international exchanges, together with the New York Stock Exchange.
The firm’s CFO, Scott Hill, additional revealed his expectations on the bills Bakkt is about to deliver, primarily based on its present monetary efficiency:
“And finally, our investment in Bakkt will generate $20 million to $25 million of expense based upon the run rate in the first quarter. We will update you on progress at Bakkt and the level of investment as we move through the year.”
When requested in regards to the anticipated returns or income progress from current investments, together with Bakkt, Sprecher characterised the crypto platform as a “moonshot bet” for ICE:
“So it’s a bit of a moonshot bet and it’s been organized in a manner that is very different than the way ICE typically does businesses […] They’re well along in building out an infrastructure that I think you’ll see launch later this year.”
Sprecher added that Bakkt exists independently from ICE, because it has its personal places of work, administration group and infrastructure. He careworn that the mission’s infrastructure has already attracted numerous high-profile traders and companions, together with Starbucks and Microsoft — as Cointelegraph beforehand reported.
Hill concluded that Bakkt is extra of a long-term mission quite than a 2019-focused agenda. “I think Bakkt is really an investment […] That’s more about the future and revenue and market opportunities that we see in the future and less about 2019 topline,” Hill stated.
ICE first announced the launch of its digital asset platform in August 2018. The firm was set to launch in early 2019, however the date was delayed because of the ongoing consultations with the United States Commodity Futures and Trading Commission.