July 29, 2025
5 min read
Jesse Coghlan
Bakkt sells its loyalty services arm for 1M to focus exclusively on crypto infrastructure and stablecoin payments.
Bakkt Sells Loyalty Business to Focus on Pure-Play Crypto Infrastructure
Crypto custody and trading firm Bakkt Holdings Inc. has agreed to sell its loyalty services business as it sharpens its focus on becoming a “pure play crypto infrastructure company.” On Monday, Bakkt announced it reached an agreement to sell its loyalty business, which enables clients to offer travel and merchandise perks, for $11 million to Project Labrador Holdco, LLC, a subsidiary of the blank-check firm Roman DBDR Technology Advisors, Inc. The deal is expected to close in the third quarter of 2025 and includes provisions for working capital, debt, and a short-term cash loan to facilitate the transfer. Bakkt stated that this sale will allow the company to concentrate its resources on its core crypto offerings and stablecoin payments infrastructure. In March 2025, Bakkt had already expressed its intent to focus on crypto and sought to divest its loyalty arm. Earlier that month, two of its largest clients, Bank of America and Webull, announced they would not renew agreements for loyalty and crypto services, respectively.Bakkt’s Shift to Pure-Play Crypto
Andy Main, Bakkt’s president and co-CEO, said, “With the pending sale of our Loyalty business, Bakkt is achieving a significant milestone and fully embracing its future as a streamlined, pure-play crypto infrastructure company.” He added that the sale enables the firm to dedicate all resources to its core crypto offerings and the growing opportunities in the stablecoin payments ecosystem. Stablecoins have surged in popularity, especially after the U.S. passed legislation earlier this month to regulate these tokens. Even before the new laws, stablecoin issuer Circle Internet Group launched a public offering exceeding $1 billion in early June, with shares soaring nearly 500% since. Akshay Naheta, who joined Bakkt as co-CEO in March, highlighted plans to deploy agentic AI solutions aimed at enhancing Bakkt’s crypto and stablecoin products and to aggressively execute the company’s treasury strategy. In June, Bakkt announced intentions to raise up to $1 billion through various securities offerings, with some funds earmarked for Bitcoin (BTC) acquisitions. This strategic crypto refocus comes amid growing investor enthusiasm for crypto firms. Bakkt has publicly acknowledged cash flow challenges, and its share price has been declining since 2021. Shares closed Monday down nearly 5% and dropped approximately 27.8% after-hours to $12.40, adding to a nearly 31% decline year-to-date.
Source: Google Finance
Preliminary Q2 Results Show Earnings Growth
Bakkt also released unaudited preliminary second-quarter earnings, estimating total revenues between $577 million and $579 million. This represents at least a 13% increase compared to $509.9 million in revenues from the same quarter last year. Its estimated gross crypto revenues for Q2 ranged from $568 million to $569 million, up at least 14.2% from $497.1 million in crypto services revenue in Q2 2024.$75 Million Public Offering to Fund Bitcoin Purchases
Separately on Monday, Bakkt announced a public offering of its Class A shares and pre-funded warrants to raise $75 million. The offering is expected to close on Wednesday, with some proceeds potentially used to purchase Bitcoin and other digital assets, alongside general corporate purposes.Explore more articles like this by subscribing to Cointelegraph’s Crypto Biz newsletter for weekly insights on blockchain and crypto business trends.
Source Attribution: Originally published at Cointelegraph on July 29, 2025.