Clear Street assigns ‘Buy’ to Bakkt as it pivots to regulated stablecoin and custody infrastructure

Clear Street has issued a “Buy” rating for Bakkt, with a price target of $14—suggesting a potential 44% upside. The endorsement comes as Bakkt shifts its focus toward becoming a regulated crypto infrastructure player, emphasizing stablecoin services, institutional custody, and payment solutions.

Rating and price target

Clear Street’s optimistic rating and $14 target are based on Bakkt’s strategic repositioning. The analyst expects future revenue to come mainly from stablecoin issuance, settlement services, and custody—moving beyond the company’s earlier business lines.

Bakkt’s regulatory and business shift

Bakkt is rebranding itself as a compliant infrastructure provider, leveraging its regulatory licenses and emphasis on rule-following as key selling points. Clear Street believes this regulated approach will help attract institutional clients and larger enterprises looking for trusted, compliant crypto services.

Risks and competition

The report also highlights several risks: regulatory ambiguity around stablecoins, fierce competition from established banks and tech-backed custody providers, and Bakkt’s ability to execute its new strategy. Success isn’t guaranteed—the company must turn licenses and partnerships into sustainable revenue.

Clear Street’s positive outlook depends heavily on Bakkt delivering real commercial results, especially in custody and stablecoins. Investors should keep an eye on quarterly updates, partnership announcements, and regulatory developments in the U.S. and E.U. that could impact Bakkt’s core businesses.