A consequence of the process by which cryptocurrencies and Blockchain technology are entering the global economic mainstream. It is that the crypto world, and above all the crypto entrepreneurs, begin to rub shoulders with the traditional political and economic elite. Which allows us to understand the appointment of Bakkt CEO Kelly Loeffler as a new senator for Georgia.
The importance of Bakkt
If we had to summarize the year 2019 by the actors that have had influence on the crypto world, Bakkt would undoubtedly occupy a special place. Well, the financial technology company has generated headlines and important events, throughout the year.
Turning them, usually, around his future contract on Bitcoin in physical. Which generated high expectations in the market, being the first physical contracts in Bitcoin legally traded in the United States.
Which, provided a number of important advantages to the crypto world. Well, until the launch of Bakkt contracts, American institutional investors did not have a regulated financial product, through which to invest in Bitcoins. Being legally impossible to participate in the crypto market. So, in theory, Bakkt's contracts would open the entrance doors to all these capitals.
As a result, the influx of several billion dollars was expected. With a substantial increase in the demand for Bitcoin, with its consequent growth in the price. However, the reality was far from this ideal.
And, the launch of Bakkt contracts, in fact coincided with a significant collapse in the price of Bitcoin. An event from which, the cryptocurrency has not yet recovered. And that showed the limitations on the influence of Bakkt contracts in the market. Which did not get the torrent of investments expected by all the crypto world actors.
Bakkt CEO appointed senator
However, the future Bakkt physical Bitcoin contracts were not the promised success. It does not mean that the company does not continue to be one of the main firms in the crypto world. And that, therefore, its leaders enjoy an important economic and political influence.
This is demonstrated by the recent appointment of Kelly Loeffler, CEO of Bakkt, as senator of the United States. This is due to the withdrawal of Republican Senator Johnny Isakson, for health reasons, as of this December. What left an empty seat in Congress, which was to be filled by Georgia Governor Brian Kemp.
Although the US President, Donald Trump, expressed his preference for Representative Doug Collins. In the end, the opinion of the majority leader in the Senate, Mitch McConnell, who favored Loeffler prevailed.
Kelly Loeffler has declared herself pro-Trump, and in favor of the tougher policies promoted by the conservative government. Including the wall on the border with Mexico and the bearing of arms, and against abortion and socialism.
The appointment of an important personality of the crypto world as a Senator in the United States of America, is an important event that demonstrates the relevance that the crypto market is acquiring outside the world of cryptocurrencies.