Reports said that Bakkt (BKKT), an institutional and retail-facing digital asset platform founded by Intercontinental Exchange, has suffered a drawdown of -6.4% after closing a volatile first day of trading as a publicly listed company.
It has been reported that after launching on the New York Stock Exchange at $9.45 on Monday morning, BKKT rose by around 3.3% up to $9.77 during its first 30 minutes of trading. Traders quickly moved to take profits, causing prices to slump by -9.5% down to $8.84.
However, according to Bloomberg, BKKT was trading at $8.76 by the day’s close after having shed almost -7% from its opening. Bakkt went public via a merger deal with a special purpose acquisition company (SPAC), VPC Impact Acquisition Holdings, on Friday.
The report said that Bakkt initially launched in 2018 as a cryptocurrency custodian. The firm has since pivoted to launch institutional-facing Bitcoin futures contracts and a retail crypto-asset payments app. Bakkt is not Intercontinental Exchange’s first foray into cryptocurrency, with the firm having participated as a lead investor in Coinbase’s Series C $75-million funding round in January 2015.
Likewise, just like Bakkt, Coinbase posted a bearish performance for its first day of public trading, shedding -13.8% from a starting price of $381 over the course of the day.
Intercontinental Exchange sold its stake in Coinbase for $1.2 billion during the first quarter of 2021.
Thus, earlier this month, Bakkt announced a partnership with Google to enable its retail app users to make payments from their digital asset balances using Google Pay.