- Bakkt, a crypto firm backed by the Intercontinental Exchange (ICE), has warned that it may lack the necessary funds to continue operations for the next 12 months.
- Launched in 2018 by ICE with significant anticipation, Bakkt aimed to provide institutional investors access to Bitcoin.
- The firm is uncertain about its ability to expand into new markets and grow its revenue base in the fast-paced crypto asset environment.
- Bakkt acknowledges the struggle to generate a sustainable operating profit and sufficient cash flows.
- The company's future business success relies on raising capital and significantly increasing its revenues.
- Bakkt is considering raising funds by issuing up to $150 million in registered securities publicly.
- The firm's public journey, which began in 2021 with shares peaking over $40, has faced challenges, with shares dropping 7.6% in after-hours trading and declining 37% since the beginning of this year.
