A securities class action has been filed in the USDC — S.D.N.Y. against Bakkt Holdings, Inc. (BKKT) (“Bakkt” or the “Company”) on behalf of all persons and entities that purchased or otherwise acquired Bakkt securities between March 25, 2024, and March 17, 2025, both dates inclusive (the “Class Period”).
Bakkt is a technology company which builds software related to the selling, buying, and storage of cryptocurrency. In April 2023, the Company acquired Apex Crypto LLC, a platform for integrated crypto trading, which it renamed Bakkt Crypto. This acquisition provided the Company significant new clients and financial technology partners including Webull Pay LLC (“Webull”). Prior to its acquisition of Bakkt Crypto, revenue generated from the Company’s crypto services had been immaterial; however, in the year ending December 31, 2023, revenue from crypto services became a significant driver of the Company’s business, accounting for 93.2% of the Company’s revenue. Separately, the Company also operates a “Loyalty Solutions” segment which enables point redemption and fulfillment (including travel reservations).
The claim arises on March 17, 2025, after market close, when Bakkt disclosed Webull was terminating its commercial agreement with the Company, effective June 14, 2025.
The complaint alleges that throughout the Class Period, Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, Defendants:
(1) misrepresented the stability and/or diversity of its crypto services revenue;
(2) failed to disclose Bakkt’s Crypto services revenue was substantially dependent on a single contract with Webull;
(3) misrepresented its ability to maintain key client relationships. As a result of the foregoing, Defendants’ positive statements about the Company’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis, thereby harming investors.
On this news, the Company’s share price fell $3.50 or 27.3%, to close at $9.33 per share on March 18, 2025, on unusually heavy trading volume.
If you purchased Bakkt securities during the class period and would like to receive more information or join the action, please enter your contact information below for a FREE consultation and click “Submit Your Information”.