☒ | QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
☐ | TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
Delaware | 98-1550750 | |||||
(State or other jurisdiction of incorporation or organization) | (I.R.S. Employer Identification No.) | |||||
10000 Avalon Boulevard, Suite 1000 Alpharetta, Georgia | 30009 | |||||
(Address of principal executive offices) | (Zip Code) |
Title of each class | Trading Symbol (s) | Name of each exchange on which registered | |||||||||||||
Class A Common Stock, par value $0.0001 per share | BKKT | The New York Stock Exchange | |||||||||||||
Warrants to purchase Class A Common Stock | BKKT WS | The New York Stock Exchange |
Large accelerated filer | ☐ | Accelerated filer | ☐ | |||||||||||||||||||||
Non-accelerated filer | ☒ | Smaller reporting company | ☒ | |||||||||||||||||||||
Emerging growth company | ☒ |
Page | ||||||||
PART I. | ||||||||
Item 1. | ||||||||
PART II. | ||||||||
Item 1A. | ||||||||
Item 5. | ||||||||
Item 6. | ||||||||
As of September 30, 2023 (Unaudited) | As of December 31, 2022 | ||||||||||
Assets | |||||||||||
Current assets: | |||||||||||
Cash and cash equivalents | $ | 68,219 | $ | 98,332 | |||||||
Restricted cash | 28,262 | 16,500 | |||||||||
Customer funds | 28,223 | 591 | |||||||||
Available-for-sale securities | 22,678 | 141,062 | |||||||||
Accounts receivable, net | 21,699 | 25,306 | |||||||||
Prepaid insurance | 12,050 | 22,822 | |||||||||
Safeguarding asset for crypto | 505,697 | 15,792 | |||||||||
Other current assets | 7,329 | 6,060 | |||||||||
Total current assets | 694,157 | 326,465 | |||||||||
Property, equipment and software, net | 20,508 | 19,744 | |||||||||
Goodwill | 66,500 | 15,852 | |||||||||
Intangible assets, net | 41,738 | 55,833 | |||||||||
Deposits with clearinghouse | 159 | 15,150 | |||||||||
Other assets | 23,672 | 22,458 | |||||||||
Total assets | $ | 846,734 | $ | 455,502 | |||||||
Liabilities and stockholders’ equity | |||||||||||
Current liabilities: | |||||||||||
Accounts payable and accrued liabilities | $ | 49,192 | $ | 66,787 | |||||||
Customer funds payable | 28,223 | 591 | |||||||||
Deferred revenue, current | 4,370 | 3,972 | |||||||||
Due to related party | 1,770 | 1,168 | |||||||||
Safeguarding obligation for crypto | 505,697 | 15,792 | |||||||||
Other current liabilities | 4,303 | 3,819 | |||||||||
Total current liabilities | 593,555 | 92,129 | |||||||||
Deferred revenue, noncurrent | 2,850 | 3,112 | |||||||||
Warrant liability | 1,642 | 785 | |||||||||
Other noncurrent liabilities | 37,612 | 23,402 | |||||||||
Total liabilities | 635,659 | 119,428 | |||||||||
Commitments and contingencies (Note 14) | |||||||||||
Class A common stock ($0.0001 par value, 750,000,000 shares authorized, 91,414,923 shares issued and outstanding as of September 30, 2023 and 80,926,843 shares issued and outstanding as of December 31, 2022) | 9 | 8 | |||||||||
Class V common stock ($0.0001 par value, 250,000,000 shares authorized, 183,249,426 shares issued and outstanding as of September 30, 2023 and 183,482,777 shares issued and outstanding as of December 31, 2022) | 19 | 19 | |||||||||
Additional paid-in capital | 794,199 | 772,973 | |||||||||
Accumulated other comprehensive loss | (293) | (290) | |||||||||
Accumulated deficit | (724,602) | (676,447) | |||||||||
Total stockholders’ equity | 69,332 | 96,263 | |||||||||
Noncontrolling interest | 141,743 | 239,811 | |||||||||
Total equity | 211,075 | 336,074 | |||||||||
Total liabilities and stockholders’ equity | $ | 846,734 | $ | 455,502 |
September 30, 2021 | December 31, 2020 | |||||||
(Unaudited) | ||||||||
ASSETS | ||||||||
Current assets | ||||||||
Cash | $ | 708,642 | $ | 1,177,678 | ||||
Prepaid expenses | 134,813 | 234,959 | ||||||
Total Current Assets | 843,455 | 1,412,637 | ||||||
Cash and investments held in Trust Account | 207,396,111 | 207,376,213 | ||||||
TOTAL ASSETS | $ | 208,239,566 | $ | 208,788,850 | ||||
LIABILITIES AND SHAREHOLDERS’ EQUITY (DEFICIT) | ||||||||
Liabilities | ||||||||
Current Liabilities | ||||||||
Accounts payable and accrued expenses | $ | 6,144,562 | $ | 893,415 | ||||
Accrued offering costs | 0 | 2,230 | ||||||
Total Current Liabilities | 6,144,562 | 895,645 | ||||||
Warrant liabilities | 29,599,970 | 22,513,065 | ||||||
Deferred underwriting fee payable | 7,258,021 | 7,258,021 | ||||||
Total Liabilities | 43,002,553 | 30,666,731 | ||||||
Commitments and Contingencies | 0 | 0 | ||||||
Class A ordinary shares subject to possible redemption, 20,737,202 shares at $10.00 per share as of September 30, 2021 and December 31, 2020 | 207,372,020 | 207,372,020 | ||||||
Shareholders’ Deficit | ||||||||
Preference shares, $0.0001 par value; 1,000,000 shares authorized; 0shares issued and outstanding | 0 | 0 | ||||||
Class A ordinary shares, $0.0001 par value; 200,000,000 shares authorized at September 30, 2021 and December 31, 2020 | 0 | 0 | ||||||
Class B ordinary shares, $0.0001 par value; 20,000,000 shares authorized; 5,184,300 shares issued and outstanding at September 30, 2021 and December 31, 2020 | 518 | 518 | ||||||
Additional paid-in capital | 0 | 0 | ||||||
Accumulated deficit | (42,135,525 | ) | (29,250,419 | ) | ||||
Total Shareholders’ Deficit | (42,135,007 | ) | (29,249,901 | ) | ||||
TOTAL LIABILITIES AND SHAREHOLDERS’ DEFICIT | $ | 208,239,566 | $ | 208,788,850 | ||||
Three Months Ended September 30, 2023 | Three Months Ended September 30, 2022 | Nine Months Ended September 30, 2023 | Nine Months Ended September 30, 2022 | ||||||||||||||||||||
Revenues: | |||||||||||||||||||||||
Crypto services | $ | 191,750 | $ | 471 | $ | 527,526 | $ | 1,464 | |||||||||||||||
Loyalty services, net | 13,024 | 12,742 | 38,096 | 38,852 | |||||||||||||||||||
Total revenues | 204,774 | 13,213 | 565,622 | 40,316 | |||||||||||||||||||
Operating expenses: | |||||||||||||||||||||||
Crypto costs | 189,428 | 353 | 521,601 | 1,352 | |||||||||||||||||||
Execution, clearing and brokerage fees | 697 | — | 2,902 | — | |||||||||||||||||||
Compensation and benefits | 24,608 | 37,800 | 85,818 | 107,135 | |||||||||||||||||||
Professional services | 1,962 | 2,707 | 7,204 | 9,291 | |||||||||||||||||||
Technology and communication | 5,536 | 4,137 | 15,647 | 12,659 | |||||||||||||||||||
Selling, general and administrative | 7,447 | 7,792 | 21,722 | 26,995 | |||||||||||||||||||
Acquisition-related expenses | (739) | 454 | 17,053 | 1,148 | |||||||||||||||||||
Depreciation and amortization | 3,959 | 6,391 | 10,843 | 18,340 | |||||||||||||||||||
Related party expenses | 1,033 | 267 | 3,145 | 901 | |||||||||||||||||||
Goodwill and intangible assets impairments | 23,325 | 1,547,711 | 23,325 | 1,547,711 | |||||||||||||||||||
Impairment of long-lived assets | 56 | 15 | 56 | 15 | |||||||||||||||||||
Restructuring expenses | — | — | 4,471 | — | |||||||||||||||||||
Other operating expenses | 322 | 487 | 1,231 | 1,706 | |||||||||||||||||||
Total operating expenses | 257,634 | 1,608,114 | 715,018 | 1,727,253 | |||||||||||||||||||
Operating loss | (52,860) | (1,594,901) | (149,396) | (1,686,937) | |||||||||||||||||||
Interest income, net | 1,177 | 623 | 3,502 | 838 | |||||||||||||||||||
(Loss) gain from change in fair value of warrant liability | (214) | 428 | (857) | 13,139 | |||||||||||||||||||
Other income, net | 379 | 696 | 33 | 607 | |||||||||||||||||||
Loss before income taxes | (51,518) | (1,593,154) | (146,718) | (1,672,353) | |||||||||||||||||||
Income tax (expense) benefit | (231) | 606 | (401) | 8,844 | |||||||||||||||||||
Net loss | (51,749) | (1,592,548) | (147,119) | (1,663,509) | |||||||||||||||||||
Less: Net loss attributable to noncontrolling interest | (34,418) | (1,124,416) | (98,964) | (1,184,352) | |||||||||||||||||||
Net loss attributable to Bakkt Holdings, Inc. | $ | (17,331) | $ | (468,132) | $ | (48,155) | $ | (479,157) | |||||||||||||||
Net loss per share attributable to Class A common stockholders: | |||||||||||||||||||||||
Basic | $ | (0.19) | $ | (6.11) | $ | (0.55) | $ | (7.00) | |||||||||||||||
Diluted | $ | (0.19) | $ | (6.11) | $ | (0.55) | $ | (7.00) |
Three Months Ended September 30, 2023 | Three Months Ended September 30, 2022 | Nine Months Ended September 30, 2023 | Nine Months Ended September 30, 2022 | ||||||||||||||||||||
Net loss | $ | (51,749) | $ | (1,592,548) | $ | (147,119) | $ | (1,663,509) | |||||||||||||||
Currency translation adjustment, net of tax | (397) | (777) | (36) | (971) | |||||||||||||||||||
Unrealized gains (losses) on available-for-sale securities, net of tax | 16 | (165) | 20 | (178) | |||||||||||||||||||
Comprehensive loss | $ | (52,130) | $ | (1,593,490) | $ | (147,135) | $ | (1,664,658) | |||||||||||||||
Comprehensive loss attributable to noncontrolling interest | (34,669) | (1,125,081) | (98,977) | (1,185,157) | |||||||||||||||||||
Comprehensive loss attributable to Bakkt Holdings, Inc. | $ | (17,461) | $ | (468,409) | $ | (48,158) | $ | (479,501) |
Class A Common Stock | Class V Common Stock | Additional Paid-in Capital | Accumulated Deficit | Accumulated Other Comprehensive Income (Loss) | Total Stockholders’ Equity | Noncontrolling Interest | Total Equity | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Shares | $ | Shares | $ | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Balance as of December 31, 2022 | 80,926,843 | $ | 8 | 183,482,777 | $ | 19 | $ | 772,973 | $ | (676,447) | $ | (290) | $ | 96,263 | $ | 239,811 | $ | 336,074 | |||||||||||||||||||||||||||||||||||||||||
Share-based compensation | — | — | — | — | 6,713 | — | — | 6,713 | — | 6,713 | |||||||||||||||||||||||||||||||||||||||||||||||||
Unit-based compensation | — | — | — | — | — | — | — | — | 542 | 542 | |||||||||||||||||||||||||||||||||||||||||||||||||
Shares issued upon vesting of share-based awards, net of tax withholding | 1,495,040 | — | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||||||
Exchange of Class V shares for Class A shares | 202,890 | — | (202,890) | — | 345 | — | — | 345 | (345) | — | |||||||||||||||||||||||||||||||||||||||||||||||||
Currency translation adjustment, net of tax | — | — | — | — | — | — | 7 | 7 | 15 | 22 | |||||||||||||||||||||||||||||||||||||||||||||||||
Unrealized losses on available-for-sale securities, net of tax | — | — | — | — | — | — | (72) | (72) | (157) | (229) | |||||||||||||||||||||||||||||||||||||||||||||||||
Net loss | — | — | — | — | — | (13,976) | — | (13,976) | (30,883) | (44,859) | |||||||||||||||||||||||||||||||||||||||||||||||||
Balance as of March 31, 2023 | 82,624,773 | $ | 8 | 183,279,887 | $ | 19 | $ | 780,031 | $ | (690,423) | $ | (355) | $ | 89,280 | $ | 208,983 | $ | 298,263 | |||||||||||||||||||||||||||||||||||||||||
Share-based compensation | — | — | — | — | 4,614 | — | — | 4,614 | — | 4,614 | |||||||||||||||||||||||||||||||||||||||||||||||||
Unit-based compensation | — | — | — | — | — | — | — | — | 377 | 377 | |||||||||||||||||||||||||||||||||||||||||||||||||
Shares issued upon vesting of share-based awards, net of tax withholding | 2,520,711 | — | — | — | (2,502) | — | — | (2,502) | — | (2,502) | |||||||||||||||||||||||||||||||||||||||||||||||||
Shares issued in connection with Apex acquisition | 6,140,611 | 1 | — | — | 9,062 | — | — | 9,063 | — | 9,063 | |||||||||||||||||||||||||||||||||||||||||||||||||
Exchange of Class V shares for Class A shares | — | — | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||||||
Currency translation adjustment, net of tax | — | — | — | — | — | — | 112 | 112 | 227 | 339 | |||||||||||||||||||||||||||||||||||||||||||||||||
Unrealized losses on available-for-sale securities, net of tax | — | — | — | — | — | — | 77 | 77 | 156 | 233 | |||||||||||||||||||||||||||||||||||||||||||||||||
Net loss | — | — | — | — | — | (16,848) | — | (16,848) | (33,663) | (50,511) | |||||||||||||||||||||||||||||||||||||||||||||||||
Balance as of June 30, 2023 | 91,286,095 | $ | 9 | 183,279,887 | $ | 19 | $ | 791,205 | $ | (707,271) | $ | (166) | $ | 83,796 | $ | 176,080 | $ | 259,876 | |||||||||||||||||||||||||||||||||||||||||
Share-based compensation | — | — | — | — | 2,957 | — | — | 2,957 | — | 2,957 | |||||||||||||||||||||||||||||||||||||||||||||||||
Unit-based compensation | — | — | — | — | — | — | — | — | 385 | 385 | |||||||||||||||||||||||||||||||||||||||||||||||||
Forfeiture and cancellation of common units | — | — | (4,845) | — | — | — | — | — | (13) | (13) | |||||||||||||||||||||||||||||||||||||||||||||||||
Shares issued upon vesting of share-based awards, net of tax withholding | 103,212 | — | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||||||
Exchange of Class V shares for Class A shares | 25,616 | — | (25,616) | — | 37 | — | — | 37 | (37) | — | |||||||||||||||||||||||||||||||||||||||||||||||||
Currency translation adjustment, net of tax | — | — | — | — | — | — | (133) | (133) | (264) | (397) | |||||||||||||||||||||||||||||||||||||||||||||||||
Unrealized losses on available-for-sale securities, net of tax | — | — | — | — | — | — | 6 | 6 | 10 | 16 | |||||||||||||||||||||||||||||||||||||||||||||||||
Net loss | — | — | — | — | — | (17,331) | — | (17,331) | (34,418) | (51,749) | |||||||||||||||||||||||||||||||||||||||||||||||||
Balance as of September 30, 2023 | 91,414,923 | $ | 9 | 183,249,426 | $ | 19 | $ | 794,199 | $ | (724,602) | $ | (293) | $ | 69,332 | $ | 141,743 | $ | 211,075 |
For The Three Months Ended September 30, | Nine months Ended September 30, | For the Period from July 31, 2020 (Inception) through September 30, | ||||||||||
2021 | 2021 | 2020 | ||||||||||
General and administrative expenses | $ | 2,241,776 | $ | 5,822,575 | $ | 17,543 | ||||||
Loss from operations | (2,241,776 | ) | (5,822,575 | ) | (17,543 | ) | ||||||
Other income (expense): | ||||||||||||
Other Income | — | 4,476 | — | |||||||||
Interest earned on investments held in Trust Account | 2,669 | 19,898 | 164 | |||||||||
Change in fair value of warrant liabilities | 1,755,959 | (7,086,905 | ) | (2,260,000 | ) | |||||||
Offering costs—warrants | — | — | (754,990 | ) | ||||||||
Total other income (expense), net | 1,758,628 | (7,062,531 | ) | (3,014,826 | ) | |||||||
Net loss | $ | (483,148 | ) | $ | (12,885,106 | ) | $ | (3,032,369 | ) | |||
Weighted average shares outstanding of Class A ordinary shares | 20,737,202 | 20,737,202 | 3,870,968 | |||||||||
Basic and diluted net loss per share, Class A | $ | (0.02 | ) | $ | (0.50 | ) | $ | (0.34 | ) | |||
Weighted average shares outstanding of Class B ordinary shares | 5,184,300 | 5,184,300 | 5,000,000 | |||||||||
Basic and diluted net loss per share, Class B | $ | (0.02 | ) | $ | (0.50 | ) | $ | (0.34 | ) | |||
Class A Common Stock | Class V Common Stock | Additional Paid-in Capital | Accumulated Deficit | Accumulated Other Comprehensive Income (Loss) | Total Stockholders’ Equity | Noncontrolling Interest | Total Equity | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Shares | $ | Shares | $ | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Balance as of December 31, 2021 | 57,164,388 | $ | 6 | 206,271,792 | $ | 21 | $ | 566,766 | $ | (98,342) | $ | (55) | $ | 468,396 | $ | 1,825,775 | $ | 2,294,171 | |||||||||||||||||||||||||||||||||||||||||
Share-based compensation | — | — | — | — | 13,190 | — | — | 13,190 | — | 13,190 | |||||||||||||||||||||||||||||||||||||||||||||||||
Unit-based compensation | — | — | — | — | — | — | — | — | 1,118 | 1,118 | |||||||||||||||||||||||||||||||||||||||||||||||||
Forfeiture and cancellation of common units | — | — | (268,522) | — | — | — | — | — | (60) | (60) | |||||||||||||||||||||||||||||||||||||||||||||||||
Exercise of warrants | 100 | — | — | — | 1 | — | — | 1 | — | 1 | |||||||||||||||||||||||||||||||||||||||||||||||||
Currency translation adjustment, net of tax | — | — | — | — | — | — | 41 | 41 | 147 | 188 | |||||||||||||||||||||||||||||||||||||||||||||||||
Net loss | — | — | — | — | — | (7,128) | — | (7,128) | (36,193) | (43,321) | |||||||||||||||||||||||||||||||||||||||||||||||||
Balance as of March 31, 2022 | 57,164,488 | $ | 6 | 206,003,270 | $ | 21 | $ | 579,957 | $ | (105,470) | $ | (14) | $ | 474,500 | $ | 1,790,787 | $ | 2,265,287 | |||||||||||||||||||||||||||||||||||||||||
Share-based compensation | — | — | — | — | 8,016 | — | — | 8,016 | — | 8,016 | |||||||||||||||||||||||||||||||||||||||||||||||||
Unit-based compensation | — | — | — | — | — | — | — | — | 1,063 | 1,063 | |||||||||||||||||||||||||||||||||||||||||||||||||
Forfeiture and cancellation of common units | — | — | (9,693) | — | — | — | — | — | (15) | (15) | |||||||||||||||||||||||||||||||||||||||||||||||||
Exercise of warrants | 100 | — | — | — | 1 | — | — | 1 | — | 1 | |||||||||||||||||||||||||||||||||||||||||||||||||
Shares issued upon vesting of share-based awards, net of tax withholding | 624,497 | — | — | — | (2,586) | — | — | (2,586) | — | (2,586) | |||||||||||||||||||||||||||||||||||||||||||||||||
Exchange of Class V shares for Class A shares | 17,554,639 | 2 | (17,554,639) | (2) | 152,235 | — | — | 152,235 | (152,235) | — | |||||||||||||||||||||||||||||||||||||||||||||||||
Increase in deferred tax liability from step-up tax basis related to exchanges of Opco Common Units | — | — | — | — | (19,063) | — | — | (19,063) | — | (19,063) | |||||||||||||||||||||||||||||||||||||||||||||||||
Currency translation adjustment, net of tax | — | — | — | — | — | — | (105) | (105) | (277) | (382) | |||||||||||||||||||||||||||||||||||||||||||||||||
Unrealized losses on available-for-sale securities | — | — | — | — | — | — | (4) | (4) | (9) | (13) | |||||||||||||||||||||||||||||||||||||||||||||||||
Net loss | — | — | — | — | — | (3,897) | — | (3,897) | (23,744) | (27,641) | |||||||||||||||||||||||||||||||||||||||||||||||||
Balance as of June 30, 2022 | 75,343,724 | $ | 8 | 188,438,938 | $ | 19 | $ | 718,560 | $ | (109,367) | $ | (123) | $ | 609,097 | $ | 1,615,570 | $ | 2,224,667 | |||||||||||||||||||||||||||||||||||||||||
Share-based compensation | — | — | — | — | 7,657 | — | — | 7,657 | — | 7,657 | |||||||||||||||||||||||||||||||||||||||||||||||||
Unit-based compensation | — | — | — | — | — | — | — | — | 1,045 | 1,045 | |||||||||||||||||||||||||||||||||||||||||||||||||
Forfeiture and cancellation of common units | — | — | (34,929) | — | — | — | — | — | (110) | (110) | |||||||||||||||||||||||||||||||||||||||||||||||||
Exercise of warrants | 21 | — | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||||||
Shares issued upon vesting of share-based awards, net of tax withholding | 287,491 | — | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||||||
Exchange of Class V shares for Class A shares | 2,051,166 | — | (2,051,166) | — | 17,914 | — | — | 17,914 | (17,914) | — | |||||||||||||||||||||||||||||||||||||||||||||||||
Decrease in deferred tax liability due to tax impact of goodwill and intangible assets impairments | — | — | — | — | 19,056 | — | — | 19,056 | — | 19,056 | |||||||||||||||||||||||||||||||||||||||||||||||||
Currency translation adjustment, net of tax | — | — | — | — | — | — | (228) | (228) | (549) | (777) | |||||||||||||||||||||||||||||||||||||||||||||||||
Unrealized losses on available-for-sale securities | — | — | — | — | — | — | (49) | (49) | (116) | (165) | |||||||||||||||||||||||||||||||||||||||||||||||||
Net loss | — | — | — | — | — | (468,132) | — | (468,132) | (1,124,416) | (1,592,548) | |||||||||||||||||||||||||||||||||||||||||||||||||
Balance as of September 30, 2022 | 77,682,402 | $ | 8 | 186,352,843 | $ | 19 | $ | 763,187 | $ | (577,499) | $ | (400) | $ | 185,315 | $ | 473,510 | $ | 658,825 |
Class A Ordinary Shares | Class B Ordinary Shares | Additional Paid-in Capital | Accumulated Deficit | Total Shareholders’ Deficit | ||||||||||||||||||||||||
Shares | Amount | Shares | Amount | |||||||||||||||||||||||||
Balance – January 1, 2021, as restated (see Note 2) | 0 | $ | 0 | 5,184,300 | $ | 518 | $ | 0 | $ | (29,250,419 | ) | $ | (29,249,901 | ) | ||||||||||||||
Net loss | — | — | — | 0 | 0 | (33,671,616 | ) | (33,671,616 | ) | |||||||||||||||||||
Balance – March 31, 2021, as restated (see Note 2) | 0 | $ | 0 | 5,184,300 | $ | 518 | $ | 0 | $ | (62,922,035 | ) | $ | (62,921,517 | ) | ||||||||||||||
Net income | — | — | — | 0 | 0 | 21,269,658 | 21,269,658 | |||||||||||||||||||||
Balance – June 30, 2021, as restated (see Note 2) | 0 | $ | 0 | 5,184,300 | $ | 518 | $ | 0 | $ | (41,652,377 | ) | $ | (41,651,859 | ) | ||||||||||||||
Net loss | — | — | — | 0 | 0 | (483,148 | ) | (483,148 | ) | |||||||||||||||||||
Balance – September 30, 2021 | 0 | $ | 0 | 5,184,300 | $ | 518 | $ | 0 | $ | (42,135,525 | ) | $ | (42,135,007 | ) | ||||||||||||||
Nine Months Ended September 30, 2023 | Nine Months Ended September 30, 2022 | |||||||||||||
Cash flows from operating activities: | ||||||||||||||
Net loss | $ | (147,119) | $ | (1,663,509) | ||||||||||
Adjustments to reconcile net loss to net cash used in operating activities: | ||||||||||||||
Depreciation and amortization | 10,843 | 18,340 | ||||||||||||
Non-cash lease expense | 2,298 | 1,893 | ||||||||||||
Share-based compensation expense | 14,284 | 28,863 | ||||||||||||
Unit-based compensation expense | 1,300 | 322 | ||||||||||||
Forfeiture and cancellation of common units | (13) | (185) | ||||||||||||
Deferred income taxes | — | (8,858) | ||||||||||||
Impairment of long-lived assets | 56 | 15 | ||||||||||||
Goodwill and intangible assets impairments | 23,325 | 1,547,711 | ||||||||||||
Loss on disposal of assets | 70 | — | ||||||||||||
Loss (gain) from change in fair value of warrant liability | 857 | (13,139) | ||||||||||||
Other | 19 | 213 | ||||||||||||
Changes in operating assets and liabilities: | ||||||||||||||
Accounts receivable | 3,607 | (3,964) | ||||||||||||
Prepaid insurance | 10,772 | 11,629 | ||||||||||||
Deposits with clearinghouse | 14,991 | 1 | ||||||||||||
Accounts payable and accrued liabilities | (14,243) | (10,668) | ||||||||||||
Due to related party | 602 | 284 | ||||||||||||
Deferred revenue | 136 | (2,033) | ||||||||||||
Operating lease liabilities | (2,088) | 4,261 | ||||||||||||
Customer funds payable | 27,632 | 41 | ||||||||||||
Other assets and liabilities | (1,220) | (5,122) | ||||||||||||
Net cash used in operating activities | (53,891) | (93,905) | ||||||||||||
Cash flows from investing activities: | ||||||||||||||
Capitalized internal-use software development costs and other capital expenditures | (7,905) | (22,533) | ||||||||||||
Purchase of available-for-sale securities | (44,599) | (188,759) | ||||||||||||
Proceeds from the maturity of available-for-sale securities | 163,165 | 74,714 | ||||||||||||
Acquisition of Bumped Financial, LLC | (631) | — | ||||||||||||
Acquisition of Apex Crypto LLC, net of cash acquired | (44,320) | — | ||||||||||||
Net cash provided by (used in) investing activities | 65,710 | (136,578) | ||||||||||||
Cash flows from financing activities: | ||||||||||||||
Proceeds from the exercise of warrants | — | 3 | ||||||||||||
Repurchase and retirement of Class A common stock | (2,502) | — | ||||||||||||
Net cash (used in) provided by financing activities | (2,502) | 3 | ||||||||||||
Effect of exchange rate changes | (36) | (968) | ||||||||||||
Net increase (decrease) in cash, cash equivalents, restricted cash and customer funds | 9,281 | (231,448) | ||||||||||||
Cash, cash equivalents, restricted cash and customer funds at the beginning of the period | 115,423 | 408,415 | ||||||||||||
Cash, cash equivalents, restricted cash and customer funds at the end of the period | $ | 124,704 | $ | 176,967 | ||||||||||
Supplemental disclosure of cash flow information: | ||||||||||||||
Non-cash operating lease right-of-use asset acquired | $ | 3,783 | $ | 11,021 | ||||||||||
Supplemental disclosure of non-cash investing and financing activity: | ||||||||||||||
Capitalized internal-use software development costs and other capital expenditures included in accounts payable and accrued liabilities. | 548 | 2,756 | ||||||||||||
Reconciliation of cash, cash equivalents, restricted cash and customer funds to consolidated balance sheets: | ||||||||||||||
Cash and cash equivalents | $ | 68,219 | $ | 159,850 | ||||||||||
Restricted cash | 28,262 | 16,525 | ||||||||||||
Customer funds | 28,223 | 592 | ||||||||||||
Total cash, cash equivalents, restricted cash and customer funds | $ | 124,704 | $ | 176,967 |
Class A Ordinary Shares | Class B Ordinary Shares | Additional Paid-in Capital | Accumulated Deficit | Total Shareholders’ Deficit | ||||||||||||||||||||||||
Shares | Amount | Shares | Amount | |||||||||||||||||||||||||
Balance – July 31, 2020 (inception) | 0 | $ | 0 | 0 | $ | 0 | $ | 0 | $ | 0 | $ | 0 | ||||||||||||||||
Issuance of Class B ordinary shares to Sponsor | — | — | 5,750,000 | 575 | 24,425 | — | 25,000 | |||||||||||||||||||||
Accretion | 0 | (24,425 | ) | (23,521,731 | ) | (23,546,156 | ) | |||||||||||||||||||||
Forfeiture of Founder Shares | — | — | (565,700 | ) | (57 | ) | 57 | — | ||||||||||||||||||||
Net loss | — | — | — | — | — | (3,032,369 | ) | (3,032,369 | ) | |||||||||||||||||||
Balance – September 30, 2020, as restated (see Note 2) | 0 | $ | 0 | 5,184,300 | $ | 518 | $ | 0 | $ | (26,554,043 | ) | $ | (26,553,525 | ) | ||||||||||||||
Nine months Ended September 30, 20 21 | For the Period from July 31, 2020 (Inception) Through September 30, 2020 | |||||||
Cash Flows from Operating Activities: | ||||||||
Net loss | $ | (12,885,106 | ) | $ | (3,032,369 | ) | ||
Adjustments to reconcile net loss to net cash used in operating activities: | ||||||||
Change in fair value of warrant liabilities | 7,086,905 | 2,260,000 | ||||||
Formation cost paid by Sponsor in exchange for issuance of founder shares | — | 6,606 | ||||||
Interest earned on investments held in Trust Account | (19,898 | ) | (164 | ) | ||||
Transaction costs allocated to warrants | — | 754,990 | ||||||
Changes in operating assets and liabilities: | ||||||||
Prepaid expenses | 100,146 | (278,363 | ) | |||||
Accounts payable and accrued expenses | 5,248,917 | 0 | ||||||
Net cash used in operating activities | (469,036 | ) | (289,300 | ) | ||||
Cash Flows from Investing Activities: | ||||||||
Investment of cash into T rust Account | — | (200,000,000 | ) | |||||
Net cash used in investing activities | — | (200,000,000 | ) | |||||
Cash Flows from Financing Activities: | ||||||||
Proceeds from sale of Units, net of underwriting discount paid | — | 196,000,000 | ||||||
Proceeds from sale of Private Placement Units | — | 6,000,000 | ||||||
Payment of offering costs | — | (397,793 | ) | |||||
Repayment of promissory note – related party | — | (82,729 | ) | |||||
Net cash provided by financing activities | — | 201,519,478 | ||||||
Net Change in Cash | (469,036 | ) | 1,230,178 | |||||
Cash – Beginning of period | 1,177,678 | 0 | ||||||
Cash – End of period | $ | 708,642 | $ | 1,230,178 | ||||
Non-Cash investing and financing activities: | ||||||||
Offering costs included in accrued offering costs | $ | — | $ | 2,230 | ||||
Offering costs paid by Sponsor in exchange for issuance of founder shares | $ | — | $ | 18,394 | ||||
Offering costs paid through promissory note | $ | — | $ | 82,729 | ||||
Initial classification of Class A ordinary shares subject to possible redemption | $ | — | $ | 207,372,020 | ||||
Deferred underwriting fee payable | $ | — | $ | 7,000,000 | ||||
As Previously Reported | Adjustment | As Restated | ||||||||||
Balance Sheet as of March 31, 2021 (unaudited) | ||||||||||||
Class A ordinary shares subject to possible redemption | $ | 139,450,500 | $ | 67,921,520 | $ | 207,372,020 | ||||||
Class A ordinary shares | $ | 679 | $ | (679 | ) | $ | — | |||||
Additional paid-in capital | $ | 43,531,612 | $ | (43,531,612 | ) | $ | — | |||||
Accumulated deficit | $ | (38,532,806 | ) | $ | (24,389,229 | ) | $ | (62,922,035 | ) | |||
Total shareholders’ equity (deficit) | $ | 5,000,003 | $ | (67,921,520 | ) | $ | (62,921,517 | ) | ||||
Number of shares subject to redemption | 13,945,050 | 6,792,152 | 20,737,202 | |||||||||
Balance Sheet as of June 30, 2021 (unaudited) | ||||||||||||
Class A ordinary shares subject to possible redemption | $ | 160,720,160 | $ | 46,651,860 | $ | 207,372,020 | ||||||
Class A ordinary shares | $ | 467 | $ | (467 | ) | $ | — | |||||
Additional paid-in capital | $ | 22,262,164 | $ | (22,262,164 | ) | $ | — | |||||
Accumulated deficit | $ | (17,263,148 | ) | $ | (24,389,229 | ) | $ | (41,652,377 | ) | |||
Total shareholders’ equity (deficit) | $ | 5,000,001 | $ | (46,651,860 | ) | $ | (41,651,859 | ) | ||||
Number of shares subject to redemption | 16,072,016 | 4,665,186 | 20,737,202 | |||||||||
Statement of Cash Flows for the three months ended March 31, 2021 (unaudited) | ||||||||||||
Change in value of Class A ordinary shares subject to possible redemption | $ | 33,671,610 | $ | (33,671,610 | ) | $ | — | |||||
Statement of Cash Flows for the six months ended June 30, 2021 (unaudited) | ||||||||||||
Change in value of Class A ordinary shares subject to possible redemption | $ | (12,401,950 | ) | $ | 12,401,950 | $ | — | |||||
Statement of Operation for the three months ended March 31, 2021 (unaudited) | ||||||||||||
Weighted average shares outstanding, Class A ordinary shares | 20,737,202 | — | 20,737,202 | |||||||||
Basic and diluted net income per share, Class A ordinary shares | $ | — | $ | (1.30 | ) | $ | (1.30 | ) | ||||
Weighted average shares outstanding, Class B ordinary shares | 5,184,300 | 0 | 5,184,300 | |||||||||
Basic and diluted net loss per share, Class B ordinary shares | $ | (6.50 | ) | $ | 5.20 | $ | (1.30 | ) | ||||
Statement of Operation for the three months ended June 30, 2021 (unaudited) | ||||||||||||
Weighted average shares outstanding, Class A ordinary shares | 20,737,202 | — | 20,737,202 | |||||||||
Basic and diluted net income per share, Class A ordinary shares | $ | — | $ | 0.82 | $ | 0.82 | ||||||
Weighted average shares outstanding, Class B ordinary shares | 5,184,300 | — | 5,184,300 | |||||||||
Basic and diluted net loss per share, Class B ordinary shares | $ | 4.10 | $ | (3.28 | ) | $ | 0.82 | |||||
Statement of Operation for the six months ended June 30, 2021 (unaudited) | ||||||||||||
Weighted average shares outstanding, Class A ordinary shares | 20,737,202 | — | 20,737,202 | |||||||||
Basic and diluted net income per share, Class A ordinary shares | $ | — | $ | (0.48 | ) | $ | (0.48 | ) | ||||
Weighted average shares outstanding, Class B ordinary shares | 5,184,300 | — | 5,184,300 | |||||||||
Basic and diluted net loss per share, Class B ordinary shares | $ | (2.40 | ) | $ | 1.92 | $ | (0.48 | ) |
Crypto Asset | Symbol | ||||
Bitcoin | BTC | ||||
Bitcoin Cash | BCH | ||||
Dogecoin | DOGE | ||||
Ether | ETH | ||||
Ether Classic | ETC | ||||
Litecoin | LTC | ||||
Shiba Inu | SHIB | ||||
USD Coin | USDC |
Service Type | Three Months Ended September 30, 2023 | Three Months Ended September 30, 2022 | Nine Months Ended September 30, 2023 | Nine Months Ended September 30, 2022 | ||||||||||||||||||||||
Transaction revenue(a) | $ | 198,526 | $ | 6,927 | $ | 548,774 | $ | 21,477 | ||||||||||||||||||
Subscription and service revenue | 6,248 | 6,286 | 16,848 | 18,839 | ||||||||||||||||||||||
Total revenue | $ | 204,774 | $ | 13,213 | $ | 565,622 | $ | 40,316 |
Platform | Three Months Ended September 30, 2023 | Three Months Ended September 30, 2022 | Nine Months Ended September 30, 2023 | Nine Months Ended September 30, 2022 | ||||||||||||||||||||||
Loyalty redemption platform | $ | 13,024 | $ | 12,742 | $ | 38,096 | $ | 38,852 | ||||||||||||||||||
Crypto services(b) | 191,750 | 471 | 527,526 | 1,464 | ||||||||||||||||||||||
Total revenue | $ | 204,774 | $ | 13,213 | $ | 565,622 | $ | 40,316 |
Gross proceeds | $ | 207,372,020 | ||
Less: | ||||
Proceeds allocated to Public Warrants | $ | (13,275,495 | ) | |
Class A ordinary shares issuance costs | $ | (11,138,216 | ) | |
Plus: | ||||
Accretion of carrying value to redemption value | $ | 24,413,711 | ||
Class A ordinary shares subject to possible redemption | $ | 207,372,020 | ||
Nine Months Ended September 30, 2023 | Nine Months Ended September 30, 2022 | ||||||||||
Beginning of the period contract liability | $ | 7,084 | $ | 9,448 | |||||||
Revenue recognized from contract liabilities included in the beginning balance | (3,055) | (3,629) | |||||||||
Increases due to cash received, net of amounts recognized in revenue during the period | 3,191 | 1,596 | |||||||||
End of the period contract liability | $ | 7,220 | $ | 7,415 |
Three Months Ended September 30, 2021 | Nine Months Ended September 30, 2021 | For the Period from July 31, 2020 (Inception) Through September 30, 2020 | ||||||||||||||||||||||
Class A | Class B | Class A | Class B | Class A | Class B | |||||||||||||||||||
Basic and diluted net loss per ordinary share | ||||||||||||||||||||||||
Numerator: | ||||||||||||||||||||||||
Allocation of net loss, as adjusted | $ | (368,518 | ) | $ | (96,630 | ) | $ | (10,308,085 | ) | $ | (2,577,021 | ) | $ | (1,323,216 | ) | $ | (1,709,153 | ) | ||||||
Denominator: | ||||||||||||||||||||||||
Basic and diluted weighted average shares outstanding | 20,737,202 | 5,184,300 | 20,737,202 | 5,184,300 | 3,870,968 | 5,000,000 | ||||||||||||||||||
Basic and diluted net loss per ordinary share | $ | (0.02 | ) | $ | (0.02 | ) | $ | (0.50 | ) | $ | (0.50 | ) | $ | (0.34 | ) | $ | (0.34 | ) |
($ in millions) | ||||||||
Cash consideration paid | 55.0 | |||||||
Cash paid for working capital and cash | 12.2 | |||||||
Class A common stock at transaction close | 9.1 | |||||||
Estimated fair value of Class A common stock contingent consideration | 2.9 | |||||||
Total consideration | $ | 79.2 | ||||||
Current assets | 32.0 | |||||||
Safeguarding asset for crypto | 682.2 | |||||||
Property, equipment and software, net | 0.1 | |||||||
Non-current assets | 0.3 | |||||||
Intangible assets - developed technology | 5.6 | |||||||
Intangible assets - customer relationships | 10.2 | |||||||
Goodwill | 51.0 | |||||||
Current liabilities | (20.0) | |||||||
Safeguarding obligation for crypto | (682.2) | |||||||
Net assets acquired | $ | 79.2 |
Balance as of December 31, 2022 | $ | 15,852 | |||
Apex acquisition | 50,648 | ||||
Balance as of September 30, 2023 | $ | 66,500 |
September 30, 2023 | |||||||||||||||||||||||||||||
Weighted Average Useful Life (in years) | Gross Carrying Amount | Accumulated Amortization | Impairment | Net Carrying Amount | |||||||||||||||||||||||||
Licenses | Indefinite | $ | 611 | $ | — | $ | — | $ | 611 | ||||||||||||||||||||
Trademarks / trade names | Indefinite | 8,000 | — | (3,700) | 4,300 | ||||||||||||||||||||||||
Technology | 5 | 18,360 | (5,558) | (3,069) | 9,733 | ||||||||||||||||||||||||
Customer relationships | 8.4 | 55,170 | (11,520) | (16,556) | 27,094 | ||||||||||||||||||||||||
Total | $ | 82,141 | $ | (17,078) | $ | (23,325) | $ | 41,738 |
December 31, 2022 | |||||||||||||||||||||||||||||
Weighted Average Useful Life (in years) | Gross Carrying Amount | Accumulated Amortization | Impairment | Net Carrying Amount | |||||||||||||||||||||||||
Licenses | Indefinite | $ | 241,320 | $ | — | $ | (241,320) | $ | — | ||||||||||||||||||||
Trademarks / trade names | Indefinite | 39,470 | — | (31,470) | 8,000 | ||||||||||||||||||||||||
Technology | 4.2 | 67,310 | (19,605) | (38,035) | 9,670 | ||||||||||||||||||||||||
Customer relationships | 8 | 44,970 | (6,807) | — | 38,163 | ||||||||||||||||||||||||
Total | $ | 393,070 | $ | (26,412) | $ | (310,825) | $ | 55,833 |
September 30, 2023 | |||||
Remainder of 2023 | $ | 1,654 | |||
2024 | 6,581 | ||||
2025 | 6,564 | ||||
2026 | 6,234 | ||||
2027 | 5,021 | ||||
Thereafter | 10,773 | ||||
Total | $ | 36,827 |
September 30, 2023 | December 31, 2022 | ||||||||||
Trade accounts receivable | $ | 12,596 | $ | 16,284 | |||||||
Deposits at brokers or dealers | 1,590 | — | |||||||||
Crypto receivable from liquidity providers | 186 | — | |||||||||
Unbilled receivables | 6,003 | 6,445 | |||||||||
Other receivables | 1,864 | 2,787 | |||||||||
Total accounts receivable | 22,239 | 25,516 | |||||||||
Less: allowance for doubtful accounts | (540) | (210) | |||||||||
Total | $ | 21,699 | $ | 25,306 |
September 30, 2023 | December 31, 2022 | ||||||||||
Prepaid expenses | $ | 7,297 | $ | 6,060 | |||||||
Other | 32 | — | |||||||||
Total | $ | 7,329 | $ | 6,060 |
September 30, 2023 | December 31, 2022 | ||||||||||
Internal-use software | $ | 8,218 | $ | 4,383 | |||||||
Purchased software | 105 | 99 | |||||||||
Office furniture and equipment | 2,311 | 2,303 | |||||||||
Other computer and network equipment | 5,132 | 4,732 | |||||||||
Leasehold improvements | 10,280 | 10,102 | |||||||||
Property, equipment and software, gross | 26,046 | 21,619 | |||||||||
Less: accumulated amortization and depreciation | (5,538) | (1,875) | |||||||||
Total | $ | 20,508 | $ | 19,744 |
September 30, 2023 | December 31, 2022 | ||||||||||
Operating lease right-of-use assets | $ | 21,116 | $ | 19,632 | |||||||
Other | 2,556 | 2,826 | |||||||||
Total | $ | 23,672 | $ | 22,458 |
September 30, 2023 | December 31, 2022 | ||||||||||
Accounts payable | $ | 3,729 | $ | 25,975 | |||||||
Payables to clients | 70 | — | |||||||||
Accrued expenses | 19,116 | 15,537 | |||||||||
Purchasing card payable | 12,502 | 10,686 | |||||||||
Salaries and benefits payable | 8,019 | 13,926 | |||||||||
Loyalty revenue share liability | 3,479 | 43 | |||||||||
Other | 2,277 | 620 | |||||||||
Total | $ | 49,192 | $ | 66,787 |
September 30, 2023 | December 31, 2022 | ||||||||||
Participation units liability, current | $ | 221 | $ | 275 | |||||||
Current maturities of operating lease liability | 3,555 | 3,014 | |||||||||
Other | 527 | 530 | |||||||||
Total | $ | 4,303 | $ | 3,819 |
September 30, 2023 | December 31, 2022 | ||||||||||
Operating lease liability, noncurrent | $ | 24,547 | $ | 23,402 | |||||||
Contingent consideration | 13,065 | — | |||||||||
Total | $ | 37,612 | $ | 23,402 |
September 30, 2023 | December 31, 2022 | ||||||||||||||||
Opco Common Units | Ownership % | Opco Common Units | Ownership % | ||||||||||||||
Opco common units held by Bakkt Holdings, Inc. | 91,414,923 | 34 | % | 80,926,843 | 31 | % | |||||||||||
Opco common units held by noncontrolling interest holders | 183,249,426 | 66 | % | 183,482,777 | 69 | % | |||||||||||
Total Opco common units outstanding | 274,664,349 | 100 | % | 264,409,620 | 100 | % |
RSUs and PSUs | Number of RSUs and PSUs | Weighted Average Remaining Contractual Term (years) | Weighted Average Grant Date Fair Value | Aggregate Intrinsic Value | |||||||||||||||||||
Outstanding as of December 31, 2022 | 13,782 | 2.05 | $ | 4.05 | |||||||||||||||||||
Granted | 8,457 | $ | 1.49 | $ | 12,596 | ||||||||||||||||||
Forfeited | (3,635) | ||||||||||||||||||||||
Vested | (5,282) | ||||||||||||||||||||||
Outstanding as of September 30, 2023 | 13,322 | 1.57 | $ | 2.93 |
Type of unit | Three Months Ended September 30, 2023 | Three Months Ended September 30, 2022 | Nine Months Ended September 30, 2023 | Nine Months Ended September 30, 2022 | |||||||||||||||||||
Common incentive unit | $ | 372 | $ | 950 | $ | 1,291 | $ | 3,041 | |||||||||||||||
Participation unit | (32) | 74 | (4) | (2,904) | |||||||||||||||||||
Total | $ | 340 | $ | 1,024 | $ | 1,287 | $ | 137 |
Common Incentive Units | Number of Common Incentive Units | Weighted Average Remaining Contractual Term (years) | Weighted Average Grant Date Fair Value | Aggregate Intrinsic Value | ||||||||||
Outstanding as of December 31, 2022 | 8,294 | 0.79 | $ | 6.30 | $ | 67,635 | ||||||||
Granted | — | |||||||||||||
Forfeited | (5) | |||||||||||||
Exchanged | (229) | |||||||||||||
Outstanding as of September 30, 2023 | 8,060 | 0.04 | $ | 6.30 | $ | 65,727 |
Common Incentive Units | Number of Common Incentive Units | Weighted Average Remaining Contractual Term (years) | Weighted Average Grant Date Fair Value | Aggregate Intrinsic Value | ||||||||||
Outstanding as of December 31, 2021 | 16,339 | 1.79 | $ | 6.30 | $ | 133,240 | ||||||||
Granted | — | |||||||||||||
Forfeited | (313) | |||||||||||||
Exchanged | (7,041) | |||||||||||||
Outstanding as of September 30, 2022 | 8,985 | 1.04 | $ | 6.30 | $ | 72,349 |
Three Months Ended September 30, 2023 | Three Months Ended September 30, 2022 | Nine Months Ended September 30, 2023 | Nine Months Ended September 30, 2022 | ||||||||||||||||||||
Net Loss per share: | |||||||||||||||||||||||
Numerator – basic and diluted: | |||||||||||||||||||||||
Net loss | $ | (51,749) | $ | (1,592,548) | $ | (147,119) | $ | (1,663,509) | |||||||||||||||
Less: Net loss attributable to noncontrolling interest | (34,418) | (1,124,416) | (98,964) | (1,184,352) | |||||||||||||||||||
Net loss attributable to Bakkt Holdings, Inc. – basic | (17,331) | (468,132) | (48,155) | (479,157) | |||||||||||||||||||
Net loss and tax effect attributable to noncontrolling interests | — | — | — | — | |||||||||||||||||||
Net loss attributable to Bakkt Holdings, Inc. – diluted | $ | (17,331) | $ | (468,132) | $ | (48,155) | $ | (479,157) | |||||||||||||||
Denominator – basic and diluted: | |||||||||||||||||||||||
Weighted average shares outstanding – basic | 91,357,858 | 76,591,676 | 87,726,210 | 68,408,530 | |||||||||||||||||||
Weighted average shares outstanding – diluted | 91,357,858 | 76,591,676 | 87,726,210 | 68,408,530 | |||||||||||||||||||
Net loss per share – basic | $ | (0.19) | $ | (6.11) | $ | (0.55) | $ | (7.00) | |||||||||||||||
Net loss per share – diluted | $ | (0.19) | $ | (6.11) | $ | (0.55) | $ | (7.00) |
As of September 30, 2023 | |||||
RSUs and PSUs | 13,026 | ||||
Public warrants | 7,141 | ||||
Participation units | 189 | ||||
Opco warrants | 793 | ||||
Opco unvested incentive units | 2,125 | ||||
Opco common units | 181,125 | ||||
Total | 204,398 |
Payments Due by Period | |||||||||||||||||||||||||||||
Less than 1 year | 1-3 years | 3-5 years | More than 5 years | Total | |||||||||||||||||||||||||
Purchase obligations | $ | 4,050 | $ | 19,100 | $ | — | $ | — | $ | 23,150 |
Description | September 30, 2021 | Quoted Prices in Active Markets (Level 1) | Significant Other Observable Inputs (Level 2) | Significant Other Unobservable Inputs (Level 3) | ||||||||||||
Assets: | ||||||||||||||||
Cash and Investments held in Trust Account | $ | 207,396,111 | $ | 207,396,111 | $ | 0 | $ | 0 | ||||||||
Liabilities: | ||||||||||||||||
Warrant Liability – Public Warrants | $ | 16,694,484 | $ | 16,694,484 | $ | 0 | $ | 0 | ||||||||
Warrant Liability – Private Placement Warrants | $ | 12,905,486 | $ | 0 | $ | 0 | $ | 12,905,486 | ||||||||
Description | December 31, 2020 | Quoted Prices in Active Markets (Level 1) | Significant Other Observable Inputs (Level 2) | Significant Other Unobservable Inputs (Level 3) | ||||||||||||
Assets: | ||||||||||||||||
Cash and Investments held in Trust Account | $ | 207,376,213 | $ | 207,376,213 | $ | 0 | $ | 0 | ||||||||
Liabilities: | ||||||||||||||||
Warrant Liability – Public Warrants | $ | 11,509,147 | $ | 11,509,147 | $ | 0 | $ | 0 | ||||||||
Warrant Liability – Private Placement Warrants | $ | 11,003,918 | $ | 0 | $ | 0 | $ | 11,003,918 | ||||||||
As of September 30, 2023 | ||||||||||||||
Total | Level 1 | Level 2 | Level 3 | |||||||||||
Assets: | ||||||||||||||
U.S. Treasury debt securities | $ | 22,678 | $ | 22,678 | $ | — | $ | — | ||||||
Safeguarding asset for crypto | 505,697 | — | 505,697 | — | ||||||||||
Total Assets | $ | 528,375 | $ | 22,678 | $ | 505,697 | $ | — | ||||||
Liabilities: | ||||||||||||||
Safeguarding obligation for crypto | 505,697 | — | 505,697 | — | ||||||||||
Contingent consideration | 13,065 | — | — | 13,065 | ||||||||||
Warrant liability—public warrants | 1,642 | 1,642 | — | — | ||||||||||
Total Liabilities | $ | 520,404 | $ | 1,642 | $ | 505,697 | $ | 13,065 |
As of December 31, 2022 | ||||||||||||||
Total | Level 1 | Level 2 | Level 3 | |||||||||||
Assets: | ||||||||||||||
U.S. Treasury debt securities | $ | 141,062 | $ | 141,062 | $ | — | $ | — | ||||||
Safeguarding asset for crypto | 15,792 | — | 15,792 | — | ||||||||||
Total Assets | $ | 156,854 | $ | 141,062 | $ | 15,792 | $ | — | ||||||
Liabilities: | ||||||||||||||
Safeguarding obligation for crypto | $ | 15,792 | $ | — | $ | 15,792 | $ | — | ||||||
Warrant liability—public warrants | 785 | 785 | — | — | ||||||||||
Total Liabilities | $ | 16,577 | $ | 785 | $ | 15,792 | $ | — |
September 30, 2021 | December 31, 2020 | |||||||
Stock price | $ | 10.11 | $ | 10.08 | ||||
Exercise price | $ | 11.50 | $ | 11.50 | ||||
Risk-free rate | 0.98 | % | 0.36 | % | ||||
Volatility | 27.0 | % | 25.0 | % | ||||
Term (in years) | 5.0 | 5.0 | ||||||
Dividend yield | 0.0 | % | 0.0 | % |
Private Placement | ||||
Fair value as of January 1, 2021 | $ | 11,003,918 | ||
Change in fair value | 12,110,456 | |||
Fair value as of March 31, 2021 | $ | 23,114,374 | ||
Change in fair value | (9,592,439 | ) | ||
Fair value as of June 30, 2021 | $ | 13,521,935 | ||
Change in fair value | (616,449 | ) | ||
Fair value as of September 30, 2021 | $ | 12,905,486 | ||
September 30, 2023 | December 31, 2022 | ||||||||||
Bitcoin | $ | 178,726 | $ | 15,717 | |||||||
Ether | 148,733 | 75 | |||||||||
Shiba Inu | 105,181 | — | |||||||||
Dogecoin | 53,626 | — | |||||||||
Other | 19,431 | — | |||||||||
Safeguarding obligation for crypto | $ | 505,697 | $ | 15,792 | |||||||
Safeguarding asset for crypto | $ | 505,697 | $ | 15,792 |
September 30, 2023 | December 31, 2022 | ||||||||||||||||||||||||||||||||||
Available-for-sale securities | Cost Basis | Unrealized Gains/(Losses), net | Fair Value | Cost Basis | Unrealized Gains/(Losses), net | Fair Value | |||||||||||||||||||||||||||||
Government debt | |||||||||||||||||||||||||||||||||||
U.S. treasury bonds | 22,600 | 78 | 22,678 | 141,003 | 59 | 141,062 | |||||||||||||||||||||||||||||
Total available-for-sale securities | $ | 22,600 | $ | 78 | $ | 22,678 | $ | 141,003 | $ | 59 | $ | 141,062 |
September 30, 2023 | December 31, 2022 | ||||||||||||||||||||||
Available-for-sale securities in an unrealized loss position | Fair Value | Unrealized Losses | Fair Value | Unrealized Losses | |||||||||||||||||||
Government debt | |||||||||||||||||||||||
U.S. treasury bonds: | |||||||||||||||||||||||
Less than 12 months(1) | $ | — | $ | — | $ | 39,574 | $ | (381) | |||||||||||||||
12 months or more(1) | — | — | — | — | |||||||||||||||||||
Total available-for-sale securities | $ | — | $ | — | $ | 39,574 | $ | (381) | |||||||||||||||
(1) Indicates the length of time that individual securities have been in a continuous unrealized loss position. |
September 30, 2023 | |||||||||||
Cost Basis | Fair Value | ||||||||||
Due in one year or less | $ | 22,600 | $ | 22,678 | |||||||
Due after one year through five years | — | — | |||||||||
Total debt securities - available-for-sale | $ | 22,600 | $ | 22,678 |
Supported For | ||||||||||||||||||||||||||
Crypto Asset | Symbol | Trading | Transfers | Rewards | ||||||||||||||||||||||
Bitcoin | BTC | Yes | Yes* | No | ||||||||||||||||||||||
Planned Q1 2024 | ||||||||||||||||||||||||||
Bitcoin Cash | BCH | Yes | Yes* | No | ||||||||||||||||||||||
Dogecoin | DOGE | Yes* | Yes* | No | ||||||||||||||||||||||
Ethereum | ETH | Yes | Yes* | No | ||||||||||||||||||||||
Etherum Classic | ETC | Yes* | Yes* | No | ||||||||||||||||||||||
Litecoin | LTC | Yes | Yes* | No | ||||||||||||||||||||||
Shiba Inu | SHIB | Yes* | Yes* | No | ||||||||||||||||||||||
USD Coin | USDC | Yes* | Yes* | No |
Supported for | ||||||||||||||||||||
Crypto Asset | Symbol | Custody | Transfers | |||||||||||||||||
Bitcoin | BTC | Yes | Yes | |||||||||||||||||
Bitcoin Cash | BCH | Yes | Yes | |||||||||||||||||
Dogecoin | DOGE | Yes | Yes | |||||||||||||||||
Ethereum | ETH | Yes | Yes | |||||||||||||||||
Etherum Classic | ETC | Yes | Yes | |||||||||||||||||
Litecoin | LTC | Yes | Yes | |||||||||||||||||
Shiba Inu | SHIB | Yes | Yes | |||||||||||||||||
USD Coin | USDC | Yes | Yes |
Crypto Asset (Symbol) | Date of Delisting | |||||||
AMP | December 6, 2022 | |||||||
CRO; DASH; ONE; LUNA; LUNC; ZEC | February 15, 2023 | |||||||
ALGO; MANA | April 21, 2023 | |||||||
COMP; GALA; YFI; LRC; ICP; BAT; LINK; APE; MKR; REN; BNT; SNX; ATOM; GRT; AAVE; FIL; XTZ; AVAX; UNI; XLM; CHZ; SUSHI; CRV; ENJ; FTM; SOL; ADA; MATIC | September 19, 2023 |
Incorporated by Reference | ||||||||||||||||||||
Exhibit Number | Description | Form | File No. | Exhibit | Filing Date | |||||||||||||||
2.1 | 8-K | 001-39544 | 2.2 | April 3, 2023 | ||||||||||||||||
3.1 | 8-K | 001-39544 | 3.1 | October 21, 2021 | ||||||||||||||||
3.2 | 8-K | 001-39544 | 3.2 | October 21, 2021 | ||||||||||||||||
4.1 | 10-Q | 001-39544 | 4.2 | August 10, 2023 | ||||||||||||||||
31.1* | ||||||||||||||||||||
31.2* | ||||||||||||||||||||
32.1† | ||||||||||||||||||||
32.2† | ||||||||||||||||||||
101.INS* | Inline XBRL Instance Document – the instance document does not appear in the Interactive Data File because XBRL tags are embedded within the Inline XBRL document. | |||||||||||||||||||
101.SCH* | Inline XBRL Taxonomy Extension Schema Document | |||||||||||||||||||
101.CAL* | Inline XBRL Taxonomy Extension Calculation Linkbase Document | |||||||||||||||||||
101.DEF* | Inline XBRL Taxonomy Extension Definition Linkbase Document | |||||||||||||||||||
101.LAB* | Inline XBRL Taxonomy Extension Label Linkbase Document | |||||||||||||||||||
101.PRE* | Inline XBRL Taxonomy Extension Presentation Linkbase Document | |||||||||||||||||||
104* | Cover Page Interactive Data File (formatted as Inline XBRL and contained in Exhibit 101) |
Bakkt Holdings, Inc. | |||||||||||||||
Date: | By: | /s/ Gavin Michael | |||||||||||||
Gavin Michael | |||||||||||||||
Chief Executive Officer, President and Director (Principal Executive Officer) | |||||||||||||||
Date: | By: | /s/ | |||||||||||||
Chief Financial Officer (Principal Financial Officer) | |||||||||||||||
Date: February 14, 2024 | By: | /s/ Chip Goodroe | |||||||||||||
Chip Goodroe | |||||||||||||||
Chief Accounting Officer (Principal Accounting Officer) |