Distributed Technologies Research Acquisition Finalized by Bakkt for Stablecoin Infrastructure
The digital asset platform Bakkt has finalized its equity acquisition of Distributed Technologies Research, a stablecoin infrastructure company, with plans to establish a round-the-clock digital settlement infrastructure.
The digital asset platform Bakkt has successfully finalized its purchase of Distributed Technologies Research (DTR), a company specializing in stablecoin infrastructure, via an equity-based deal as the firm works toward establishing a comprehensive digital settlement layer.
In a statement released Thursday, Bakkt's Chief Executive Officer Akshay Naheta explained that the acquisition seeks to merge Bakkt's institutional-grade infrastructure with DTR's proprietary artificial intelligence-powered payments engine and stablecoin capabilities to establish a round-the-clock digital settlement layer.
The architecture of money movement rarely evolves at this level. This transaction accelerates the re-platforming of global financial infrastructure. By fully integrating DTR's technology, we are introducing stablecoin functionality as a critical bridge between legacy financial systems and the next generation of digital assets.
The worldwide stablecoin marketplace has expanded to approximately $320 billion, with utilization spreading across developed markets and emerging economies alike as financial institutions and banks pursue opportunities to harness the technology for accelerated payment processing and additional advantages.
Share issuance structure completes acquisition transaction
Under the terms of the transaction, Bakkt distributed over 11.3 million shares to DTR's beneficial owners, with the potential for an extra 725,592 shares to be issued, based on the official announcement.
The transaction was first disclosed in January and initially comprised 9.3 million shares. At that time, the company simultaneously revealed a corporate rebranding to Bakkt Inc.
In the period before the deal's finalization, Bakkt's stock price (BKKT) dropped approximately 8% to reach $7.86 at Wednesday's market closing, though it rebounded to $8.62 when Thursday's trading session concluded.
2024 delisting warning issued to Bakkt
Established in 2018, Bakkt maintains a 55% ownership stake held by Intercontinental Exchange (ICE), the parent company of the New York Stock Exchange (NYSE), and has secured support from significant partners including Starbucks and Mastercard.
During March 2024, the NYSE issued a delisting warning for Bakkt's stock after the share price dropped beneath $1 and stayed at that level for a 30-day period.
By the time May arrived, the company informed regulatory authorities that there existed "significant uncertainty associated with our expansion to new markets and the growth of our revenue base, given the uncertain and rapidly evolving environment associated with crypto assets."
Several months following that disclosure, media reports indicated that Trump Media, President Donald Trump's media and technology conglomerate, had entered advanced negotiations to purchase the company, though the proposed acquisition eventually collapsed.
Since that time, the company has initiated several capital-raising initiatives through equity sales, with the most recent effort in February targeting $48 million in proceeds.