NEW YORK (Reuters) – Bakkt Trust Co LLC has been granted a license to operate as a limited liability trust company, the New York State Department of Financial Services said on Friday.
Bakkt is a cryptocurrency platform affiliate of Intercontinental Exchange Inc (ICE.N), which also owns the New York Stock Exchange.
A trust company is technically different from a bank in New York but can take deposits and make loans, and act as an agent for government bodies. A limited liability trust company must maintain significant capital reserves consistent with those of a premier fiduciary business, market participants said.
In a statement, DFS said it has authorized Bakkt to provide custody services for bitcoin in conjunction with the launch of physically delivered bitcoin futures contracts.
Bakkt will serve institutional customers and its bitcoin futures contracts will be listed for trading on ICE Futures US and cleared through ICE Clear US, the DFS said. Both entities are affiliates of Bakkt.
DFS has so far approved 22 charters or licenses for companies in the virtual currency marketplace.
In a statement, Bakkt Chief Operating Officer Adam White said the trust license enables the company “to offer institutional-grade custody via the Bakkt Warehouse alongside the federally regulated Bakkttm Bitcoin Futures contracts.”
In a notice on Friday, ICE Futures US announced it will list the new Bakkt Bitcoin (USD) monthly and Bakkt Bitcoin (USD) daily futures contracts for trading on Sept. 23.
The crypto-platform earlier faced regulatory delays since ICE announced plans for the new venture last August.
Exchange operators CME Group Inc (CME.O) and Cboe Global Markets Inc (CBOE.Z) already offer bitcoin futures in the United States, though Cboe’s last contract settles this month and has not been renewed.
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