• Bakkt revealed it signed new custody clients and is engaged in late-stage negotiations with multiple prospects across broad client verticals.
• Bakkt shifted its focus to retail payments following several business and management changes after it went public.
• The company’s renewed push into custody comes months after it acquired crypto brokerage service provider Apex.
Bakkt Focuses on Crypto Custody Solutions
Digital asset platform Bakkt Holdings has refocused its attention on its cryptocurrency custody solutions due to recent market events and increased client interest. In a Q2 earnings report, the firm touted its “compliant and trusted” custodial platform, citing the current need for multi-custodian access and self-custodial functionality due to clients’ difficulty in storing digital assets safely.
Bakkt Customer Base Grows
Prior to its public listing in October 2021, Bakkt Custody was a core part of the firm’s business. By May 2020, the digital asset platform had expanded its institutional custody solution to serve over 70 clients and struck several partnerships with major financial institutions. Additionally, Bakkt partnered with insurance broker Marsh to offer customers coverage of more than $500 million in addition to the $125 million already in place at the custody solution.
Retail Payments Become Focus After Listing
Following several business and management changes after it went public, Bakkt shifted its focus to retail payments. The company’s renewed push into custody comes months after it acquired crypto brokerage service provider Apex.
Increased Client Interest
Bakkt revealed that it signed new custody clients as well as being engaged in late-stage negotiations with multiple prospects from various client verticals. The company noted that customer demand for secure storage solutions has increased significantly as a result of current market conditions.
Insurance Coverage Offered
In order to ensure customer assets are safe, Bakkt Custody offers insurance coverage provided by Marsh Brokerage services up to $500 million dollars plus an additional $125 million already in place at the custodial platform itself. This ensures customers have peace of mind knowing their assets are protected at all times even if something were to go wrong at Bakkt