RT @coindesk: MORE: The @CFTC now has 10 days to evaluate @Bakkt's futures contracts and present any objections before the company can officially launch its products, according to the company. https://t.co/eTXSBFTHy8
As pointed out by another redditor what they are starting in July is user acceptance testing, not the launch. The launch has been announced multiple times before so it is not unexpected if it gets delayed once again. The possible reason for postponement of the planned launch could be delay in getting regulatory approval or unfavorable market sentiment.
physical settlement is cross settlement. You oil futures end up with the long side paying cash and the short side delivering oil.
Bitmex and kraken type futures are btc settled. Both longs and shorts get paid in btc.