Industry News

Bakkt finally debuts on stock exchange, slumps 6% after listing

TL;DR Breakdown

  • Bakkt finally debut on NYSE.
  • Fims stock plunges 6 percent first day.
  • Concerns raised over enthusiasm of crypto firm days before NYSE launch.

After report that top American crypto firm, Bakkt would become a public firm, the crypto platform finally got listed on the New York Stock Exchange (NYSE). However, it ended its first 24 hours with a 6 percent decline.

Following its launch on NYSCE at $9.45 on Monday morning, BKKT rallied by about 3 percent up to $9.77 only 30 minutes after its debut. However, afterward, traders began taking their profit, causing the decline in the stock price.

According to Bloomberg, BKKT was trading at $8.76 by the day’s close after having shed almost -7% from its opening.

Since the beginning of the year, the crypto firm has been on the sidelines of getting listed on the stock exchange through a merger with VPC Impact Acquisitions Holdings. However, it announced on Friday that it completed its merger with VPC Impact Acquisition Holdings on Friday and will go all out on Monday.

Speaking to Bloomberg on their listing on NYSE, Gavin Michael, Bakkt CEO, stated that the ETF approvals are “an important milestone,” adding that there will be “more opportunity for our platform and our business, we’re just getting going with all of this.”

Concerns around Bakkt plans

Bakkt launched in 2018 as a cryptocurrency custodian. It has pivoted since then to launch institutional-facing Bitcoin futures contracts and a retail crypto-asset payments app.

In the firm’s presentation earlier this year, the crypto firm said it expects its “total serviceable addressable market” to grow to an estimated $5.1 trillion by 2025, with around $3 trillion of that coming from cryptocurrency.

However, analysts have flagged the lack of enthusiasm for Bakkt in the days running up to the launch on NYSE. VPC Impact Acquisition Holdings shareholders were given the option to stay invested and own Bakkt stock or get a refund which around 41 percent of them chose.

Bakkt bearish day one on NYSE is not new as Coinbase, another American crypto firm that went public, also had a red day one on NASDAQ, shedding -13.8 percent from its value.

This post was last modified on October 19, 2021 6:12 pm

Muhaimin Olowoporoku

Muhaimin loves writing on crypto news aside from being a crypto enthusiast. He has a knack for analysing issues and updating people on what's happening around the globe. He believes that blockchain and cryptocurrency are the most useful systems of mutual trust ever devised.

Recent Posts

Polkadot price analysis: DOT presents buying opportunity before $30 ascent

TL;DR Breakdown Polkadot price lowered another 3 percent during the day's trade Price continues to… Read More

January 20, 2022

Intel to bring a specialized Bitcoin mining chip in February 2022

TL;DR Breakdown:  Intel is reportedly releasing a specialized Bitcoin mining chip. It will be an ultra-low-voltage… Read More

January 19, 2022

Crypto friendly Singapore clampdown on crypto ATM services

TL;DR Breakdown Singapore orders crypto ATM providers stops working.Move to regulate crypto advertising to the… Read More

January 19, 2022

GK8, cybersecurity platform reel out new feature to ease integration with layer-1 blockchain

TL;DR Breakdown GK8 reel out additional features to its platform.The new features can enable banks… Read More

January 19, 2022

Monero price analysis: XMR recovers to $208, as support appears

TL;DR Breakdown The Monero price analysis is bullish.Resistance for XMR/USD is present at $214.Support for… Read More

January 19, 2022

Bitcoin Price Analysis: BTC rejects upside at $42,500 again, ready to continue lower?

TL;DR Breakdown Bitcoin price analysis is bearish today.BTC/USD retested $42,500 resistance earlier.Closest support at $41,000.… Read More

January 19, 2022

This website uses cookies.