Bakkt Crypto Platform Sued by Investor After Key Customer Losses

Bakkt Holdings Inc. overhyped its cryptocurrency services’ stability until announcing large customer cancellations that would hinder its top-line revenue, a proposed class action said.

Share prices fell 27% the day after Bakkt said Webull Pay LLC and Bank of America Corp. wouldn’t renew contracts, an investor told the US District Court for the Southern District of New York. Combined, this would result in a 73% loss to the crypto platform’s top-line revenue, said the investor complaint filed Wednesday.

After market hours on March 17, Bakkt said in a federal filing that Webull was terminating its contract, effective this upcoming June, ...