Cryptocurrency continues to achieve prominence under the administration of incoming US President Donald Trump as a crypto trading firm may soon turn into a part of the businesses owned by the billionaire president.

Reports disclosed Trump Media eyes to accumulate the Bakkt crypto company to achieve a foothold within the digital asset industry.

Advanced Talks With Bakkt

Reports said that two individuals who desired to remain anonymous in the course of the ongoing negotiation told the Financial Times that Trump Media is already nearing the finalization of a deal that will allow the social media firm to purchase the crypto firm Bakkt.

The unidentified sources said that Trump’s business team is in “advanced talks” with the executives of the cryptocurrency trading platform for a possible acquisition.

This ongoing acquisition deal indicates the growing interest of the incoming president to turn into a key player within the cryptocurrency realm as he prepares to take office within the upcoming days.

It may be recalled that before the US presidential election, Trump launched a crypto enterprise called World Liberty Financial. Under the deal, he can get 75% of the platform’s net coin revenue with no liability.

Trump’s social media company in talks to purchase crypto firm Bakkt, FT reports https://t.co/qCGZGvaPHq

— USA TODAY (@USATODAY) November 19, 2024

Trump Media, Bakkt Stocks Soar

The news of the acquisition deal has brought positive sentiments to each Trump Media and Bakkt.

Analysts said that on Monday, the worth of Trump Media stocks went up and was 16% higher at the top of the trading day, fueled by reports that the social media firm would soon purchase the crypto exchange platform.

Bakkt stock also moved up, gaining greater than 162% on the close of the market. The vast majority of the crypto trading firm’s stocks are listed within the Latest York Stock Exchange (NYSE) Intercontinental Exchange (ICE).

Meanwhile, Trump still holds about 60% interest in Trump Media, which has a market capitalization of roughly $7.1 billion. The shares will remain under his name because the President-elect has no intention of disposing of it anytime soon.

Right Timing

Analysts see that Trump’s interest in acquiring the crypto trading firm got here at the correct time because the company is having difficulty staying afloat.

Although the corporate is improving in comparison with last 12 months, Bakkt admitted that the firm “may not give you the chance to proceed as a going concern.”

The firm has maintained that within the short-term, the crypto company has adequate capital to proceed for at the very least 12 months, saying that “that determination may change in the long run” which raised questions on if the corporate can proceed as a “viable entity.”

Last March, the NYSE warned Bakkt of the opportunity of being delisted from the stock market as its common stock is being traded below the minimum per share for 30 consecutive trading days.

Featured image from NBC News, chart from TradingView