Bakkt closes curtains on consumer app, announces plan to focus on B2B strategy

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Bakkt Holdings has announced its intention to focus its offering on business-to-business (B2B) technology solutions amid plans to “sunset” its consumer app.

The company disclosed the move in a blog post, saying that the new business model will provide its customers with virtual asset services via Software as a Service (SaaS) and API solutions. The statement identified March 16 as the last day of operation for the currency consumer-centric mobile app as it urged users to brace for the new changes.

“As we continue to gain traction with our B2B2C strategy, we are laser focused on providing our partners and clients with seamless solutions that best serve their needs. The discontinuation of the app ensures we are supporting the relationship our partners and clients have with their customers,” Bakkt CEO Gavin Michael noted.

“With this move, we are focusing our investment on our core solutions that have product-market fit and are positioned to scale quickly,” Michael added.

Bakkt launched operations in 2021, allowing customers to buy and sell digital currencies like BTC, with Ethereum being supported on the mobile app months after launch. The company has been keen on expanding operations, as it added the functionality of trading gift cards on the platform.

Bakkt’s statement revealed that current platform users will be allowed access to their digital assets through a new web experience. The company stated that customers’ holdings could be accessed through multiple devices for digital asset tax purposes.

Bakkt’s move towards business-to-business services has been in the works since November 2022, when it signed a deal with Apex Crypto, giving it access to 30 signed fintech partners.

“The pending Apex Crypto acquisition further affirms Bakkt’s B2B2C approach and go-forward strategy of bringing crypto products to a broad universe of client verticals,” the report read.

Pivot or die!

Digital asset firms are switching strategies in the face of unfavorable market conditions plaguing the ecosystem. Several digital asset exchanges are laying off a chunk of their staff as they navigate the uncertainties of the market, with Coinbase (NASDAQ: COIN), Huobi, and Crypto.com shedding up to 20% of their workforce.

Huobi recently announced it was shutting down its Cloud Wallet, citing “strategic and product adjustments” beginning immediately. The embattled exchange has undergone a radical rebranding and a corporate restructuring following its exit from Mainland China.

Experts predict an increase in virtual currency firms making radical changes to their core offerings in the coming months as they look to weather the storm from falling asset prices.

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