Crypto

Digital Asset Platform Bakkt Set to Acquire Apex Crypto for $200 Million

Digital Asset Platform Bakkt has entered into an agreement to acquire Apex Crypto, LLC from Apex Fintech Solutions, Inc. According to the OK, Bakkt is set to acquire Apex Crypto for the price of $200 million, making its first payment of $55 million upon closing of the deal. The transaction will likely be completed by the first half of 2023 and is subject to regulatory approvals.

Launched in 2019, Apex Crypto is a “turnkey platform” dedicated to crypto trading, built with the intention of meeting the growing demands of over 30 fintech companies and their growing customers. Apex Crypto was basically designed “to enable investors to transition between stock trading and cryptocurrency offering efficient account opening and funding solutions” while managing complex regulatory and licensing obligations related to crypto.

Bakkt’s The acquisition of Apex Crypto is set to strengthen Bakkt’s cryptocurrency product offering and expand its customer base to include fintechs, trading app platforms and neo-banks, providing crypto solutions to Apex’s 220+ customers. The collaborative effort is expected to accelerate innovation and product development for crypto products, such as staking, external transfers and non-fungible tokens (NFT). Overall, the deal should strengthen and diversify Bakkt’s revenue as it expands its offerings.

Related: Bakkt crypto exchange partners with Google for payments.

Launched by the Intercontinental Exchange in 2018, Bakkt first offered BTC futures exclusively to accredited investors. In March 2021, the platform released a payment app allowing users to use crypto to make purchases, designed to “amplify consumer spending, reduce payment costs, and strengthen merchant loyalty programs.” .

Bakkt has had a seemingly slower rollout than many in space expected. The platform was initially aimed at institutional crypto adoption, before switch to retail-focused apps and Bitcoin (BTC) futures for institutions.

In October 2021, Bakkt went public with a merger through a special purpose acquisition company, VPC Impact Acquisition Holdings. At launch, BKKT shares are trading on the New York Stock Exchange for $9.45 but are currently trading at $2.00 at press time.