Bakkt Holdings, Inc. (NYSE:BKKT) Q4 2022 Earnings Call Transcript

John Roy: Great, thank you. So Gavin let me just mentioning Caesars there. Maybe you could give us a little more color on how that came to happen. What do you expect to see from it and, could we see others in the future?

Gavin Michael: Yes, thanks John. We, this strategic alliance that we’ve announced today, I think has a huge amount of potential, as I said earlier, just largely in the fact that, we’re offering the ability for Caesars Rewards members to really have access to crypto rewards through our platform. They can redeem Caesars Rewards points for cryptocurrency, but it doesn’t stop there. We’re also looking for our ability to look around innovating further using things like our crypto payout facility. I think what’s so exciting about this is it’s a new client vertical. So we’ve gone into a different space in the entertainment sector and a space that we think with Caesars as an anchor client will actually start to lead to more demand generation as we move forward.

So we’re excited by the move into the new vertical. We’re excited by the fact that we’re taking rewards to scale to market through a partner like Caesars. And we think it then opens up additional opportunities as you start to think about the applicability of this in a broader entertainment context.

John Roy: So maybe as a follow onto that from the regulatory approval standpoint, do you think it’s significantly harder because it’s of Caesars gambling environment? Or is it that not really that much of an impact on you?

Gavin Michael: For us, it’s subject to regulatory approval across all of our regulators right now. We don’t see it as a, we see it as a, an exercise in briefing them on what it is that we’re doing. I think the way in which we’ve structured the agreements and the way in which the transaction actually works, it’s it looks like a crypto buy at the end of the day and a crypto sell. So we think it’s a reasonably straightforward, but it is subject to regulatory approval.

John Roy: Great. Thank you.

Operator: Thank you. There are no additional questions at this time. I will hand it back to the management team for closing remarks.

Ann DeVries: Thank you everyone for attending our earnings call this evening, and we look forward to connecting with you again soon. Have a good night.

Operator: That concludes today’s conference call. Thank you. You may now disconnect your lines.