Bakkt, a product of Intercontinental Exchange, is a global ecosystem for digital assets which is set to be live in January 2019. Ever since Bitcoin was created, its enthusiasts wanted to be able to use it in different scenarios : buying a house, buying a coffee or a cinema ticket. It appears that using Bitcoin to pay for a coffee is more close than you’d think.
Kelly Loeffler, Bakkt’s CEO has confirmed that Bakkt is currently discussing introducing Bitcoin as a payment system for Starbucks. The new system will also use Microsoft’s cloud system, which will help with users store their digital assets and convert it to USD. Starbucks is a known brand when it comes to coffee with 28,916 locations worldwide. Bitcoin being used by Starbucks would prove to be a massive step for Bitcoin’s mass adoption as several non-crypto users may understand Cryptocurrency better.
The vice president of partnerships and payments at Starbucks, Maria Smith explained Starbuck’s innovative approach to expanding payment options in August 2018. It was a significant hint about adding Bitcoin as a payment option. Microsoft & Starbucks working together with Bakkt could be huge, and would set up and example. If the experience would be user-friendly – we might see an aggressive wave of businesses accepting Bitcoin as well as other cryptocurrencies with a decent amount of liquidity.
Starbucks is a Millennial favorite, and so Bitcoin can further be encouraged in being used as Millenials prefer faster payment options utilizing their mobiles. Bakkt will most probably be used to enable the Cryptocurrency to Fiat conversions using its platform for Starbucks.
Considering the role of Starbucks, Phase 2 entails the coffee chain teaming up with Bakkt to enable crypto-fiat conversion on the platform. It will allow users to pay for Starbucks products via the platform six months from the launch date. But that’s not all.
Bakkt will be offering a Bitcoin futures contract that will settle every day in Bitcoin compared to CME and CBOE’s Bitcoin Futures which settles in Cash. It is a much awaited Cryptocurrency service that has been delayed to January 24th, 2019. The delay comes at a time when the markets are experiencing a fall, and the team believes that customers may not be drawn to Bakkt’s services currently.
The Bitcoins stored in the cold storage for Bakkt will also have insurance which helps increase security which is seen to be an increasing problem for Cryptocurrency enthusiasts.
Image Source – Flickr
Subscribe to our Newsletter to be a part of our future $1,000 per month contests.