Report Bakkt supported by New York Stock Exchange mulls potential sale

Bakkt, a cryptocurrency platform launched by the parent company of the New York Stock Exchange (NYSE), is reportedly exploring the possibility of selling the company or dividing it into smaller entities, according to sources familiar with the matter who spoke to Bloomberg.
Alternatively, the board may choose to maintain Bakkt’s current structure and avoid selling or breaking up the company altogether, the insiders explained to the publication.
The news of a potential sale comes on the heels of several significant acquisitions and takeover offers in the cryptocurrency industry, such as Robinhood’s acquisition of the Bitstamp exchange and Coreweave’s unsolicited bid to acquire Bitcoin miner Core Scientific.
Bakkt has been facing challenges in the market with its share price plummeting from a high of $59.57 at the start of 2024 to around $19 at present.
In February 2024, the institutional crypto firm disclosed that it was running low on funds and might not be able to sustain its operations. As a result, Bakkt sought regulatory approval to raise $150 million in capital.
Following the regulatory approval, Bakkt was given the green light to raise capital through a $150 million securities sale to investors.
After addressing the cash flow issue and completing the securities sale, Bakkt’s CEO and president, Andy Main, reassured stakeholders that the company had improved its financial position and was no longer at risk of closure.
Main highlighted Bakkt’s 2023 revenue of $780 million as a sign of the company’s turnaround. However, a closer look at Bakkt’s financial performance and share price tells a different story.
Despite experiencing eight consecutive quarters of losses since its listing on stock exchanges in 2021, Bakkt’s current CEO remains optimistic and projects revenues in the billions for 2024.
Main believes that a strengthened balance sheet and new business initiatives could generate between $3.2 billion to $5 billion in revenue for 2024, potentially allowing Bakkt to break even by the end of the year.
Additionally, a team of cybersecurity experts called ‘SEAL 911’ has been assembled to combat crypto hacks in real-time, as reported in a magazine article.