CEO and CFO Highlight Priorities for 2024 and the Tailwinds of 1Q
On Monday May 20, 2024, WTR held a fireside chat with new CEO Andy Main and CFO Karen Alexander. This report contains a transcript of the conversation, which can be accessed on demand. The link accessible in our full report. Main focused on the company’s three priorities for 2024: (1) deepen existing client relationships; (2) cost management and restructuring; and (3) expand market reach and get into new areas. He also mentioned that Robinhood receiving a Wells Notice recently means the SEC is focused on the operations of crypto companies, which is good for Bakkt as it is a regulatory compliance-first company. The key new product to be launched this year is its own Electronic Communication Network (ECN) named “BakktX”, which is built for institutional investors. The company sees a significant opportunity as the SEC’s approval of Bitcoin ETFs has stimulated mainstream adoption of crypto. Bakkt looks to leverage its expertise in regulated markets to build an industrial strength ECN. Alexander said Bakkt’s crypto notional volume traded increased 324% Q/Q, outperforming the total crypto market increase of 65% in 1Q, while the company was actually up 324%. She also highlighted that the company has taken significant cost-reducing steps and expects an average monthly cash burn rate for 2Q-4Q24 of about $4 million a month. On the 1Q earnings call, the company raised guidance for available cash at the end of 2024, and it now expects to have between $42 million and $57 million in cash at the end of 2024. Founded in 2018, Bakkt builds solutions that enable its clients to grow with the crypto economy through a regulated approach in the US and internationally. Through institutional-grade custody, trading, and onramp capabilities, its clients leverage products and solutions built for sustainable, long-term involvement in crypto. Regulatory compliance-first infrastructure is a differentiated strength of Bakkt. Born out of NYSE-owner Intercontinental Exchange, Bakkt is secure and fully regulated, creating a significant moat that comes to the forefront when markets are in turmoil. Bakkt is one of less than 20 firms that have a New York Bitcoin license. View all of our fireside chats and reports on Bakkt on our website, including a summary of 1Q24 earnings and an updated model.
Water Tower Research is built on the foundation of democratizing information flow. We bridge the growing information gap between companies and investors through our investor engagement strategies and open-access research platform.
Our research analysts are Wall Street veterans with the experience and knowledge to work with companies and investors in tandem. We provide access to the information and content that anchors the due diligence process for both professional money managers and individual investors. We leverage traditional research distribution channels and the best of modern digital strategies and tactics to amplify this information flow globally to engage all categories of investors and stakeholders.
Information flow is the foundation for creating investor awareness, knowledge, and engagement. Our mission is to help companies and investors have the tools they need and achieve their goals.
Unfortunately, this report is not available for the investor type or country you selected.
Browse all ResearchPool reportsReport is subscription only.
Thank you, your report is ready.
Thank you, your report is ready.