Digital asset-based Bakkt to complete $200 million worth acquisition of Apex Crypto | The Financial Express

Digital asset-based Bakkt to complete $200 million worth acquisition of Apex Crypto

It is believed that the transactions will conclude at the first half of 2023, and will be subjected to regulatory approvals

Digital asset-based Bakkt to complete $200 million worth acquisition of Apex Crypto
In October, 2021, Bakkt became public with a merger through a special purpose acquisition company called VPC Impact Acquisition Holdings

Digital asset platform Bakkt has reportedly to complete the acquisition of Apex Crypto, LLC from Apex Fintech Solutions. Inc, as reported by Cointelegraph.

According to Cointelegraph, insights from the agreement stated that Bakkt is expected to acquire Apex Crypto for a price worth $200 million, which is expected to get a payment worth $55 million at the closing of the deal. It is believed that the transactions will conclude at the first half of 2023, and will be subjected to regulatory approvals. 

On the basis of information by Cointelegraph, launched in 2019, Apex Crypto is a platform which aims to integrate cryptocurrency trading, but with the aim of compliance with the increasing demands of over 30 financial technology (fintech) companies and their increasing customers. The development of Apex Crypto is expected to boost its cryptocurrency product offering and ensure expansion of its client base to include fintech firms, trading application platforms and neo banks, providing cryptocurrency solutions to Apex’s 220-plus clients base. Overall, the deal is believed to bolster and diversify Bakkt’s revenue as its scales of offerings. 

Moreover, Cointelegraph noted that launched by Intercontinental Exchange in 2018, Bakkt first provided Bitcoin futures contracts towards accredited investors. In March, 2021, the platform unveiled a payments application allowing users to use cryptocurrencies for making purchases, designed for amplification of consumer spending, reduction in payment costs, and bolster merchant loyalty programs. Reportedly, the platform’s initial creation happened for ensuring cryptocurrency institutional adoption before making the shift to retail-focused applications and institutional-backed Bitcoin futures contracts. 

In October, 2021, Bakkt became public with a merger through a special purpose acquisition company called VPC Impact Acquisition Holdings. During the time of the launch, BKKT shares traded on the New York Stock Exchange for $9.45, but currently were being traded for two dollars, at the time of the publication’s writing.

(With insights from Cointelegraph)

Also Read: Fintech firm DeFiVerse’s Akshay Bajaj on what automated cryptocurrency trading is all about

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First published on: 04-11-2022 at 11:15 IST