Intercontinental Exchange’s forthcoming institutional trading platform Bakkt has garnered a $740 million valuation after it raised over $180 million in funding last year.
Starbucks had received ‘significant equity’ in Bakkt in return for a commitment to allow in-store Bitcoin based payments this year.
This is huge news for crypto mass adoption.
Starbucks will allow users to pay for their coffees, sandwiches and other snacks using virtual currencies. The service will allow customers to use a digital wallet to convert both Bitcoin and other cryptocurrencies into fiat dollars.This digital wallet is intended to allow users to make purchases at both Starbucks, as well as a wide variety of other retailers.
The fact that Starbucks will accept Bitcoin as a means of payment is a significant development. The Seattle-based coffee chain had more than 28,000 stores globally. This this will create a solid foundation to propel cryptocurrency adoption and usage even further.
The coffee giant will initially install Bakkt’s payment software in its US stores, which customers can use to pay with crypto. No actual cryptocurrency will end up processed by the chain, as it will be instantly transferred into fiat.
The amount of equity Starbucks received in the deal is confidential – however we are guessing it will have been high. In our opinion, bringing in a high profile partner, such as Starbucks, is worth a pretty penny.