Digital asset firm Bakkt made headlines as it delisted 25 of the 36 crypto tokens listed on its newly acquired trading platform Apex Crypto. A company spokeswoman informed Cointelegraph on May 12 that this decision was taken as “part of our regular coin listing review process.” The key focus of this process is to uphold the “best interests” of their clients, as well as stay in sync with the most recent regulatory guidance and industry developments.
Most of the dropped tokens have ties to popular decentralized finance (DeFi) and nonfungible token (NFT) ecosystems. High-profile tokens such as Aave (AAVE), Chainlink (LINK), and Stellar (XLM) were among those delisted, leading some to question the reasoning behind Bakkt’s move.
For Bakkt, acquiring Apex Crypto in November was a strategic decision to establish a stronger foothold in the fintech market that Apex catered to. Apex Crypto serves as a “turnkey” service, providing execution, clearing, custody, cost basis, and tax services for 5 million customers through 30 fintech clients. While the acquisition came at an expense of $55 million in cash and $145 million in stock, it was completed in April.
In February, Bakkt managed to secure a broker-dealer license from Bumped Financial, as disclosed in their financial statement. However, just a month later, the company shut down its retail-oriented app offering crypto trading, loyalty rewards, and gift cards. Instead, Bakkt chose to concentrate on business-to-business (B2B) operations, providing crypto and loyalty to companies through software-as-a-service (SaaS) and application programming interface (API) solutions.
While the delisting of these tokens is in line with Bakkt’s regular review process, it is undeniable that the move has sparked a light sense of skepticism. On one hand, it shows that Bakkt is constantly updating itself with the latest regulatory guidance and industry developments, striving to ensure the best interests of its clients are met. On the other hand, critics may view this as an overreaction, questioning the need to remove so many tokens tied to DeFi and NFT ecosystems.
Ultimately, the main concern boils down to whether or not Bakkt’s delisting of these tokens will have a long-term impact on the broader crypto market. Bakkt, majority-owned by the Intercontinental Exchange, which also owns the New York Stock Exchange, saw its stock close down 7% on May 12, adding weight to these concerns. It remains to be seen if this decision will lead to any significant changes in the crypto landscape or if it will merely be accepted as a regular part of the rapidly evolving industry.
Source: Cointelegraph
