Bakkt Shares Soar 162% Amid Trump Media Acquisition Talks

As a seasoned researcher with over two decades of experience tracking the dynamic world of finance and technology, I must admit that Monday’s 162% surge in Bakkt Holdings Inc.’s stock price left me quite intrigued. The potential acquisition by Trump Media and Technology Group, a company with such a unique blend of political clout and digital innovation, promises to be an interesting development indeed.


On Monday, shares of Bakkt Holdings Inc. (BKKT) surged more than 162%, ending the day at $29.71, following reports that Trump Media and Technology Group (DJT) is in advanced negotiations to purchase the cryptocurrency exchange. The stock’s price further increased during after-hours trading, rising an additional 16.43% to reach $34.59.

After Financial Times announced that Trump Media and Technology Group, the organization responsible for Truth Social – the social media platform, is deep in negotiations to purchase a cryptocurrency trading platform.

As an analyst, I’m sharing that I’ve been informed of potential negotiations taking place where my employer, Trump Media, holding a 53% ownership, could be looking to acquire Bakkt through a stock swap deal. It’s important to note that Bakkt is currently under the umbrella of Intercontinental Exchange.

News about this topic ignited enthusiasm in both the cryptocurrency and stock market sectors. Since President Trump’s recent election victory, Bitcoin has experienced a rise of approximately 30%. His campaign had promised to foster the growth of the cryptocurrency industry.

This prospective purchase signals another move by Trump into the realm of cryptocurrency. Previously, he has authorized the use of his image in various NFT collections, and supports his family’s crypto venture, World Liberty Financial. In this project, they are entitled to a 75% portion of the transaction fees.

Although Bakkt’s shares have seen significant growth, the platform has faced challenges in generating profits, with its cryptocurrency custody service underperforming. In an effort to address these issues, Bakkt intends to discontinue this particular aspect of their business. The Financial Times further reports that this segment won’t be part of the deal with Trump Media.

If the agreement is finalized, it might pave the way for Trump to establish a strategic Bitcoin reserve. Yet, this move would probably necessitate consent from Congress. One analyst proposed that Trump could leverage Trump Media and Bakkt as a specific-purpose entity (SPE) to set up a Bitcoin reserve without needing legislative approval.

The outcome of this agreement remains uncertain for now, yet it’s evident that investors harbor high hopes regarding its possible effects on Trump Media and Bakkt.

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2024-11-19 07:48