The development marks President-elect Donald Trump's latest foray into the world of cryptocurrency
President-elect Donald Trump’s social media company is reportedly in advanced negotiations to acquire the cryptocurrency trading platform Bakkt, according to a report by the Financial Times on Monday late afternoon. The publication cited two individuals familiar with the matter.
The announcement had a dramatic impact on the stock market, with shares of both companies surging. Shares of Trump Media company (DJT) climbed 16%, reaching $32, while Bakkt’s (BKKT) stock skyrocketed by 162%, trading around $29 shortly before the market closed. Due to the unprecedented surge, trading in Bakkt was temporarily halted.
Details regarding the valuation being discussed in the deal remain unclear. As of Monday, Bakkt’s market capitalization stood at just over $150 million, as reported by the Financial Times.
Based in Alpharetta, Georgia, Bakkt was established by Intercontinental Exchange (ICE) (ICE), which holds a 55% ownership stake. ICE is also the parent company of the New York Stock Exchange. The development underscores the growing interest in cryptocurrency-focused ventures and the potential for strategic alignments in this rapidly evolving space.
The recent development marks yet another significant foray by Donald Trump into the cryptocurrency space. Positioning himself as the “crypto candidate” during his presidential campaign, Trump has embraced digital currencies on multiple fronts. His campaign began accepting cryptocurrency donations, signaling his openness to the burgeoning sector. He also made a notable appearance at a major Bitcoin conference, further cementing his association with the crypto community.
In a more ambitious move, Trump launched a new cryptocurrency venture, World Liberty Financial, in partnership with longtime business associates. The venture is seen as a strategic step to capitalize on his growing influence in the digital asset industry.
The crypto markets have responded enthusiastically to Trump’s election victory, with Bitcoin surging closer to the $100,000 mark. The market rally underscores the anticipation of a policy environment that could accelerate the mainstream adoption of cryptocurrencies under his leadership.
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