Cash-strapped cryptocurrency company Bakkt announces that it has obtained regulatory clearance to generate up to $150 million by selling its securities. This development follows closely on the heels of the company expressing worries about its financial standing just a week prior.
Bakkt disclosed on February 14th that it has been approved for a “shelf registration,” or shelf offering, wherein it registers a fresh batch of securities with the Securities and Exchange Commission. This enables the company to gradually sell these securities over time without requiring individual approval for each sale.
Bakkt believes the flexibility of a shelf registration on Form S-3 will provide the company with significant benefits when raising capital in the future.
Bakkt stated that, upon approval, they can secure up to $150 million in capital through multiple offerings within three years. They emphasized that having a shelf registration on Form S-3 will offer substantial advantages for future capital-raising endeavors.
Also Read: Bakkt Warns of Potential Closure Amid Financial Constraints
