Oh, you thought Trump getting back into the White House caused enough havoc? Yeah, think again. In short, Trump isn’t content with just disrupting social media, immigration, or throwing up a massive middle finger to his haters—no, he’s about to forcefully insert himself into the middle of crypto too (Gary Gensler is definitely out of a job now). 

(Source: Giphy) 

You see, according to a report by the Financial Times, Trump Media & Technology Group (DJT), the company behind Truth Social, is in advanced talks to buy Bakkt, a cryptocurrency trading platform. And naturally, this sent Wall Street and Crypto fanatics into heat as DJT stock surged over 16%, while Bakkt absolutely exploded, mooning 162%.

(Source: Financial Times) 

But, but, but… why is Trump so interested in Bakkt, you ask? Good question. For one, Bakkt’s current owner is none other than Intercontinental Exchange (ICE), the same folks who own the New York Stock Exchange. Bakkt was initially created to provide a secure platform for crypto trading, but it’s struggled to find its footing since going public in 2021.

Which is why so far, Bakkt’s stock has been underperforming, forcing the company to pull a reverse stock split earlier this year just to stay listed on the NYSE. Plus, it didn’t help that Bakkt has been bleeding money, reporting an operating loss of $27,000 last quarter on revenues of just $328,000. Ooof.

(Source: Barrons) 

However, given that Bakkt is sitting with a market cap of around $190 million, combined with Trump's intuition of causing everyone to ask themselves “What the hell is he doing?” — Trump thinks Bakkt is worth a shot. 

And honestly, I can’t blame him. Crypto is hot again, and Trump’s election win has sent Bitcoin prices soaring to all-new highs—hovering just below $92,000 a token. Plus, Trump’s administration is seen as crypto-friendly, and he’s been making no secret of his plans to shake up the industry. So obviously, the move into crypto makes sense for Trump Media, which has been trying to expand beyond its Truth Social platform.

(Source: Giphy) 

But here’s the interesting thing, if the deal goes through, Bakkt’s crypto custody business, which has been struggling, won’t even be part of the acquisition. Instead, Trump Media is eyeing Bakkt’s trading platform, which might just be the key to getting Trump deeper into the crypto game.

In a nutshell, Trump is playing a game of matchmaker. We all know Truth Social is still a small fish in the pond as it currently averages around 646,000 daily visits, compared to 155 million for X (formerly Twitter). Now of course, that’s a small number, but Trump's fanbase is so loyal so they’ll follow him down whatever path he decides to tread down.

(Source: Giphy) 

Now mesh that audience with a bunch of crypto eggheads who are likely the same type of people who love uncensored and politically incorrect madness that Trump carries— and voila, you have two platforms simultaneously coordinating with one another with a massive audience. 

Of course, it’s not as easy as it sounds, but you get the picture. Diversifying is the name of the game, and his deal goes through, it’s another sign that Trump’s business ambitions are far from over. He’s already promoting a new crypto venture, World Liberty Financial, which promises to line his pockets with 75% of its net coin revenue. Meaning, at this rate, Trump could soon be the king of social media and the crypto world. And with both DJT and Bakkt soaring, it looks like the markets are loving every minute of it. Whadda time to be alive I tell ya. 

In the meantime, you know what to do. Don’t be dumb, but definitely watch these stocks as this story unfolds and as always, stay safe and stay frosty, friends! Until next time…

P.S. Do you hear that sound? If you listen closely, it’s the sound of a stock getting probed with massive short interest, and a sky-high borrow fee that would make your 8% mortgage look like a friggin’ happy meal. Meaning, once this catalyst lights a fire under this little known stock, we could potentially see some fireworks POP… and when I say pop… I mean triple-digit to the moon pop. Curious to know what the ticker is? Click here for the details.

Stocks.News does not hold positions in companies mentioned in the article.