Digital asset platform Bakkt set to acquire Apex Crypto for $200M
has entered into an agreement to acquire Apex Crypto, LLC, from Apex Fintech Solutions, Inc. According to the agreement, Bakkt is to acquire Apex Crypto for the price tag of $200 million, making its first payment of $55 million at the closing of the deal. The transaction will likely be completed by the first half of 2023 and is .
Launched in 2019, Apex Crypto is a “turnkey platform” dedicated to integrated , built with the intention of meeting the increasing demands of more than 30 fintech firms and their growing customers. Apex Crypto was essentially built “to allow investors to transition between trading equities and cryptocurrency by offering efficient account opening and funding solutions” while handling complex crypto-related regulatory and licensing obligations.
Bakkt’s acquisition of Apex Crypto is poised to and expand its client base to include fintech firms, trading app platforms and neo-banks, providing crypto solutions to Apex’s 220-plus clients. The collaborative effort is expected to accelerate product innovation and development for crypto products, such as staking, external transfers and nonfungible tokens (NFTs). Overall, the deal is expected to bolster and diversify Bakkt’s revenue as it scales its offerings.
Launched by the Intercontinental Exchange in 2018, Bakkt first offered Bitcoin () futures contracts exclusively to accredited investors. In March 2021, the platform released a payments app allowing users to use crypto to make purchases, designed to “amplify consumer spending, reduce payment costs, and bolster merchant loyalty programs.”
Bakkt experienced a seemingly slower rollout than many in the space anticipated. The platform was initially aimed at the institutional adoption of crypto before and institutional-facing Bitcoin futures contracts.
In October 2021, Bakkt went public with a merger via a special purpose acquisition company, VPC Impact Acquisition Holdings. At the time of the launch, on the New York Stock Exchange for $9.45 but are currently trading at $2.00 at the time of publication.