Starbucks Clears the Air On Crypto Payment Reports

Starbucks has distanced itself from alleged plan to accept payments in cryptocurrencies. Speaking on Friday, a spokesperson noted that the reports in various media platforms were untrue.

The reports emerged on Friday morning when NYSE controller Intercontinental Exchange (ICE) revealed that a plan was underway to come up with a  platform dubbed “Bakkt”. The platform was to be created in conjunction with global brands such as Starbucks and Microsoft.

Notably, Bloomberg and CNBC are among the major media brands that ran with the story. The latter ran a report indicating that clients will pay with cryptos.

A Starbucks official speaking to the media noted that Frappuccinos will not be purchased using cryptos. He said the giant coffee brand was part of Bakkt to turn digital assets into the dollar, which can be accepted at Starbucks. However, the Starbucks rep refused to rule out any future crypto payments stating that they will keep engaging clients and market regulators as the cryptocurrency industry grows.

In a statement released on Friday, Starbucks said that in the first Bakkt offering, there will be a launch of a 1- 4 days physically delivered crypto contract whose warehousing will be physical within three months, The matter will be subjected to regulation by CFTC.

The Friday statement confirms an earlier report by The New York Times. The Times had suggested that ICE was planning to unveil bitcoin futures contracts that will be delivered physically.

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