Bakkt ends support for 25 of its 36 supported tokens
Digital asset firm Bakkt, which is owned by Intercontinental Exchange, has cut support for 25 out of the 36 crypto tokens that were listed on its recently acquired trading platform, Apex Crypto.
The delisted assets include popular decentralized finance (DeFi) tokens such as Uniswap (UNI) and Aave (AAVE). Additionally, prominent NFTs and cryptocurrencies Avalanche (AVAX), Chainlink (LINK), Cosmos (ATOM), Stellar (XLM), Internet Computer (ICP), Filecoin (FIL), Tezos (XTZ), and Basic Attention Token (BAT) have also been removed from the platform. The move indicates a shift in Bakkt’s supported tokens and reflects a strategic decision regarding the cryptocurrencies it will continue to offer for trading and services.
Bakkt has not provided a reason for the delisting, but it is possible that the company is seeking to focus on a smaller number of more popular tokens. It also can be attributed to recent regulations and changes in the crypto industry.
Bakkt’s decision to delist several altcoins comes after the completion of its acquisition of Apex Crypto back in April. In an earlier press release, Bakkt stated that the acquisition aligns with its strategic focus on the business-to-business (B2B) market for crypto services.
As part of this focus, Bakkt shut down its own retail cryptocurrency exchange in February. This shift reflects a growing realization that the retail crypto market may not offer the same level of opportunities as it once did. By refocusing on the B2B space, Bakkt aims to capitalize on the growing demand for crypto services among institutional and professional clients.
Bakkt will acquire Apex Crypto for a maximum purchase price of $200 million. The acquisition terms include a cash payment of $55 million, along with an additional offering of up to $145 million worth of Bakkt’s own stock, contingent on Apex Crypto meeting certain targets.
The acquisition not only brings a substantial client base but also provides Bakkt with access to a wide network of financial technology solutions. Apex Crypto’s existing clientele, consisting of more than 30 enterprise clients, will become part of Bakkt’s customer base. Apex Crypto has facilitated over $12.5 billion in cryptocurrency trades since its establishment in 2019.
Bakkt bills itself as a “digital assets marketplace” that aims to grow its network to more than 32 million users in five years. To achieve this ambitious goal, it has formed partnerships to tap into digital assets across cryptocurrencies, gaming assets, gift cards, rewards/loyalty points, and more.
The list of its partners includes big names such as Alphabet, Mastercard and others. However, smaller businesses leverage the Bakkt platform to expand payment offerings, create new revenue streams and increase customer loyalty.