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Trump Media and Technology Group (TMTG), operator of Truth Social, is in advanced discussions to acquire cryptocurrency trading venue Bakkt from Intercontinental Exchange (ICE) in an all-share transaction, according to Financial Times reports.
The potential acquisition comes as TMTG, which has seen its market capitalisation reach $6 billion despite revenues of just $2.6 million this year, looks to expand beyond social media. The company's shares have become one of the most actively traded US stocks following Donald Trump's presidential election victory.
Bakkt, which has struggled to achieve profitability since its launch, currently has a market capitalisation of approximately $150 million. The company's shares surged over 160% per cent, at time of writing, following news of the potential acquisition, as reported by the FT.
Bakkt's share price reacting to the news of a potential takeover by Trump's TMTG (TradingView)
The deal would mark Trump's further expansion into cryptocurrency markets, following his promotion of World Liberty Financial, a crypto venture from which he stands to earn significant fees. Bitcoin has risen more than 30 per cent since his election on speculation of favourable industry legislation.
ICE, which owns the New York Stock Exchange, maintains a 55 per cent economic interest in Bakkt. The company's first CEO was Kelly Loeffler, a Republican former Georgia senator who is currently co-chair of Trump's inauguration committee and wife of ICE founder Jeff Sprecher.
According to the FT, Bakkt's crypto custody business, which holds a New York regulatory licence, is expected to be excluded from the deal. The unit reported operating losses of $27,000 on revenues of $328,000 in the third quarter of 2024.
Trump holds a 53 per cent stake in TMTG, which he has pledged to retain. Truth Social currently averages 646,000 daily website visits, compared to 155 million for Elon Musk's X platform, according to Similarweb data cited by the FT.
ICE, Bakkt, and TMTG declined to comment or did not respond to requests for comment when contacted by the Financial Times.
