As regulatory pressure grows, cryptocurrency custody service provider Bakkt publicises its decision to close its consumer app for good in order to shift focus to business-to-business (B2B) tech services.
According to the company, current customers will still have access to all of their cryptocurrency and cash stored on the Bakkt platform through a revamped web experience when the app officially suspends on March 16.
“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,” said Bakkt CEO Gavin Michael.
Bakkt stated that it intends to capitalise on its B2B offering as a result of its proposed acquisition of the cryptocurrency trading infrastructure company Apex Crypto.
As a result of its proposed acquisition of the cryptocurrency trading infrastructure company Apex Crypto, Bakkt stated that it intends to capitalise on its B2B offering. In addition to integrating cryptocurrency products onto a platform, Apex Crypto also offers security and liquidity. The platform is stated to serve more than 5 million customers and has over 30 signed financial partners.
This move coincides with an increasing number of cryptocurrency companies stepping away from consumer-facing offerings due to increased regulatory scrutiny aimed at declaring measures to promote consumer protection.
The White House released a strategy for addressing possible threats from cryptocurrencies in late January. The blueprint urges Congress to “step up its efforts” to regulate the sector and the government to scale up enforcement where necessary.
