As a seasoned analyst with over two decades of experience in the financial markets, I must say that the potential acquisition of Bakkt by Trump Media is an intriguing development. Having witnessed numerous market fluctuations and mergers and acquisitions, I can confidently say that this move, if it materializes, could significantly reshape the cryptocurrency landscape under President Trump’s administration.
Under Donald Trump’s presidency, cryptocurrency is increasingly taking center stage, with a potential crypto trading company being added to the business empire of the billionaire president.
It was revealed that Trump Media is considering purchasing Bakkt, a cryptocurrency firm, as a means to establish a presence within the digital assets sector.
Advanced Talks With Bakkt
According to unidentified sources involved in the current negotiations, they informed the Financial Times that Trump Media is close to sealing a deal which permits the social media company to acquire the cryptocurrency firm Bakkt.
According to undisclosed sources, Trump’s business group could be negotiating seriously with leaders of a cryptocurrency exchange about a potential purchase.
This on-going purchase agreement signals the increasing curiosity of the incoming president to establish a significant role in the cryptocurrency sector, as he readies himself for his inauguration in the coming days.
Previously, during the U.S. Presidential election, Donald Trump introduced a cryptocurrency project named World Liberty Financial. In this agreement, he is entitled to receive 75% of the platform’s total coin revenue, while bearing no legal responsibility.
Trump’s social media company in talks to buy crypto firm Bakkt, FT reports
— USA TODAY (@USATODAY) November 19, 2024
Trump Media, Bakkt Stocks Soar
The news of the acquisition deal has brought positive sentiments to both Trump Media and Bakkt.
On Monday, it was reported that Trump Media’s stock value climbed by 16%, ending the trading day at a higher point. This surge was driven by speculation that the social media company might acquire a cryptocurrency exchange platform in the near future.
Shares of Bakkt, a major cryptocurrency trading company, experienced a significant surge, closing with an over 162% increase. Most of these stocks are traded on the New York Stock Exchange (NYSE), under the oversight of the Intercontinental Exchange (ICE).
As an analyst, I find myself observing that Trump currently retains approximately 60% ownership in Trump Media, which boasts a market capitalization of around $7.1 billion. For now, these shares will continue to bear his name, as the President-elect has no immediate plans to part ways with this significant investment.
Right Timing
Analysts believe Trump’s timing for considering the purchase of a struggling crypto trading firm was opportune, as the company has been facing financial hardships and might be on the brink of collapse.
Despite showing progress over the past year, Bakkt has acknowledged that it might face difficulties maintaining its current operations.
The company assures that it currently possesses sufficient funds to operate for at least a year. However, they’ve noted that this assessment might alter in the future, causing some doubt about whether the company will remain sustainable long-term.
In March, the NYSE cautioned Bakkt that it could potentially be removed from the stock exchange since their common shares have been traded under the minimum price per share for 30 consecutive trading days.
Read More
- EUR ARS PREDICTION
- EUR CAD PREDICTION
- LUNC PREDICTION. LUNC cryptocurrency
- CHR PREDICTION. CHR cryptocurrency
- XRP PREDICTION. XRP cryptocurrency
- ULTIMA PREDICTION. ULTIMA cryptocurrency
- LDO PREDICTION. LDO cryptocurrency
- YNE PREDICTION. YNE cryptocurrency
- KSM PREDICTION. KSM cryptocurrency
- USD PHP PREDICTION
2024-11-20 08:41