Trump Media and Technology Group (TMTG), parent company of Truth Social, is reportedly in advanced discussions to acquire Bakkt, the crypto trading platform owned by Intercontinental Exchange (ICE), according to the Financial Times.
The deal, anticipated as an all-share purchase, represents TMTG's push to diversify into the cryptocurrency market.
The news sparked a surge in Bakkt’s stock price, which climbed approximately 165% to $29, as reported by CryptoSlate. Despite struggling to gain traction with its crypto custody services, Bakkt’s platform remains a potential strategic asset for TMTG, given its institutional investor focus and established trading infrastructure. However, Bakkt’s custody business is expected to be wound down and is excluded from the deal.
TMTG, which has garnered attention for its volatile stock performance and $6 billion equity valuation, seeks to leverage Bakkt’s assets to strengthen its footprint in the digital asset space. This acquisition would also align with Trump’s recent crypto ventures, including the stablecoin-based platform World Liberty Financial.
Bakkt, founded in 2018 by ICE, has faced significant hurdles, including minimal revenues of $328,000 and operating losses of $27,000 in Q3 2023. The company narrowly avoided delisting from the NYSE earlier this year through a reverse stock split. Despite these challenges, Bakkt’s links to ICE and its initial leadership under Trump ally Kelly Loeffler may position it as a valuable addition to TMTG’s portfolio.
Both ICE and Bakkt have declined to comment on the reported deal, while TMTG has not provided an immediate response.
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