Bakkt, a publicly listed firm renowned for crypto custody and loyalty rewards, is strategizing to amass up to $1 billion through a combination of equity and debt offerings. This fundraising initiative aims to fuel a Bitcoin acquisition strategy, as per a prospectus submitted to the U.S. Securities and Exchange Commission on Thursday.
The fundraising could encompass sales of Bakkt’s Class A common stock, preferred stock, warrants, and debt securities. On June 10, Bakkt unveiled a revised investment policy aimed at channeling capital towards Bitcoin and other digital assets, aligning with the firm’s wider treasury and corporate strategy. However, Bakkt has not executed any crypto purchases so far, as indicated in the SEC filing.
“The proposed initiative is designed to facilitate Bakkt’s metamorphosis into a dedicated crypto infrastructure company, enabling strategic additions of Bitcoin and other digital assets to our treasury,” stated Akshay Naheta, Bakkt’s co-CEO. “Our multi-faceted approach reflects our faith in the digital assets future and our vision for Bakkt as an international expansion leader and a pioneer in programmable money.”
Established in 2018, Bakkt is joining the growing list of crypto treasury firms, providing investors a leveraged exposure to assets like Bitcoin, ETH, and SOL through traditional capital market-funded digital asset purchases.
This decision signifies Bakkt’s most recent strategic pivot. The Atlanta-based firm, initially supported by NYSE operator Intercontinental Exchange, first offered an institutional-grade platform for trading daily physically-settled Bitcoin futures. Despite struggles in its initial stages, Bakkt took a shot at tokenizing rewards points and crypto custody, eventually going public in 2021.
Bakkt’s inaugural CEO, Kelly Loeffler, resigned in 2019 to serve briefly as a Republican U.S. senator in Georgia during the first Trump administration. Last November, President Donald Trump’s social media company Truth Social was reportedly in “advanced talks” to acquire Bakkt.
