Baktt Shares Soar as Reports of Trump Media Acquisition Interest Emerge

Trump Media, known for operating the Truth Social app, is reportedly in advanced discussions to acquire Bakkt, a crypto trading firm, according to sources familiar with the matter.

This news significantly impacted the stock prices of both entities. Trump Media’s shares saw a sharp rise, gaining double-digit increases shortly after the report was released. By the end of the trading day, the company, listed on the Nasdaq under the ticker DJT, recorded a 16% increase in its stock value. Meanwhile, Bakkt’s shares experienced an even more dramatic surge, climbing over 162%. This steep rise prompted multiple trading halts due to market volatility.

Bakkt’s former CEO, Kelly Loeffler, is closely linked to Trump’s circle, currently serving as the co-chair of his inauguration committee. Loeffler left her role at Bakkt in 2019 to take a U.S. Senate seat in Georgia, a position she lost to Democrat Raphael Warnock in a runoff election.

Trump Media has been at the center of attention for its fluctuating market valuation in the lead-up to this year’s presidential election. Retail investors have been closely monitoring the company, banking on Trump’s political momentum and influence.

Despite reporting significant financial losses—$363 million net loss on just $2.6 million in revenue this year—the company maintains a market capitalization exceeding $7 billion. Its third-quarter financial statement shows it holds around $673 million in cash and equivalents.

The acquisition reflects Trump’s interest in expanding his footprint in the cryptocurrency industry. The move also aligns with his ongoing business ventures, which have included promoting new crypto initiatives. For instance, just weeks before the election, Trump launched a crypto platform, World Liberty Financial (WLF). Reports indicate that Trump’s family stands to earn 75% of net revenue from this venture while bearing no liability.

Bakkt, headquartered in Alpharetta, Georgia, was started in 2018 to provide technological solutions for cryptocurrency investors. In its most recent financial report, Bakkt recorded $328.4 million in revenue and $27.4 million in operating loss—an improvement of 48% compared to the previous year. However, the report raised concerns about the company’s long-term viability, warning investors about potential risks if financial conditions worsen.

Earlier this year, Bakkt faced delisting warnings from the NYE after its stock price failed to meet the $1 per share threshold for 30 consecutive days. The company stabilized its listing by implementing a 1-for-25 reverse stock split in April.

Enterprises like Marathon Digital Holdings Inc. (NASDAQ: SDIG) could see positives from the rush of activity within the industry following the election of Donald Trump to the presidency. Such activity creates a buzz around the industry and attracts additional cash inflows into different entities.

About CryptoCurrencyWire

CryptoCurrencyWire (“CCW”) is a specialized communications platform with a focus on blockchain and the cryptocurrency sector. It is one of 70+ brands within the Dynamic Brand Portfolio @ IBN that delivers: (1) access to a vast network of wire solutions via InvestorWire to efficiently and effectively reach a myriad of target markets, demographics and diverse industries; (2) article and editorial syndication to 5,000+ outlets; (3) enhanced press release enhancement to ensure maximum impact; (4) social media distribution via IBN to millions of social media followers; and (5) a full array of tailored corporate communications solutions. With broad reach and a seasoned team of contributing journalists and writers, CCW is uniquely positioned to best serve private and public companies that want to reach a wide audience of investors, influencers, consumers, journalists and the general public. By cutting through the overload of information in today’s market, CCW brings its clients unparalleled recognition and brand awareness. CCW is where breaking news, insightful content and actionable information converge.

To receive SMS alerts from CryptoCurrencyWire, text “CRYPTO” to 888-902-4192 (U.S. Mobile Phones Only)

For more information, please visit https://www.CryptoCurrencyWire.com

Please see full terms of use and disclaimers on the CryptoCurrencyWire website applicable to all content provided by CCW, wherever published or re-published: https://www.CryptoCurrencyWire.com/Disclaimer

CryptoCurrencyWire
New York, NY
www.CryptoCurrencyWire.com
212.994.9818 Office
Editor@CryptoCurrencyWire.com

CryptoCurrencyWire is powered by IBN