Intercontinental Exchange crypto venture Bakkt nears SPAC deal: report

Bitcoin • January 7, 2021, 9:37PM EST
UPDATED: May 27, 2021, 11:57AM EDT
The Block

Digital asset firm Bakkt is looking to tap into the public markets through a SPAC deal, according to a Bloomberg report. 

Bakkt, a venture by Intercontinental Exchange, is in advanced stage talks to go public through a merger with blank-check firm VPC Impact Acquisition Holdings, according to Bloomberg's sources. The merged firm could have a valuation above $2 billion, according to the report. 

Bakkt is known in the crypto market for its derivatives products, including its futures and options on bitcoin. The firm has been developing a retail app for a wide-range of digital assets, spanning loyalty points and bitcoin. It has raised $300 million from investors including Galaxy Digital, Boston Consulting Group, CMT Digital Ventures, and Pantera Capital. 

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The SPAC is affiliated with Victory Park Capital, as per Bloomberg's report. Founded in 2020, it is led by former Antares Capital co-CEO, John Martin.

SPACs—special purpose acquisition companies—became red-hot in 2020. As per data compiled by Goldman Sachs at the end of last year, SPACs made up more than 52% of the more than $140 billion raised via new listings in the US.

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