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| Share-Based Payment Arrangement [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Share-Based and Unit-Based Compensation | Share-Based and Unit-Based Compensation The following discussion of the Company’s share-based and unit-based compensation awards includes awards related to continuing and discontinuing operations, unless otherwise clarified. 2021 Incentive Plan Bakkt's 2021 Omnibus Incentive Plan, as amended (the “2021 Incentive Plan”), became effective on October 15, 2021. The 2021 Incentive Plan allows the Company to make equity and equity-based incentive awards to employees, non-employee directors and consultants. There are 4,014,121 shares of Class A Common Stock reserved for issuance under the 2021 Incentive Plan which can be granted as stock options, stock appreciation rights, restricted shares, restricted stock units ("RSUs"), performance stock units ("PSUs"), dividend equivalent rights and other share-based awards. No award granted under the 2021 Incentive Plan may vest earlier than the first anniversary of the date of grant, subject to limited exceptions. Inducement Awards In connection with Mr. Naheta’s appointment as Co-Chief Executive Officer, Mr. Naheta received (i) 1,607,717 PSUs and (2) 11,426 RSUs (together, the “Inducement Grant”). The RSUs vested on March 19, 2026. The PSUs vest over a three-year performance period based on attainment of stock price appreciation metrics that are measured based on a rolling 90-day volume weighted average price. The Inducement Grant is subject to the terms of the 2021 Incentive Plan as if granted thereunder. As of June 30, 2026, 803,861 PSUs have vested and 803,856 remain outstanding. Stock Option Awards On July 29, 2025, the Board and its Compensation Committee (the “Compensation Committee”) granted stock options to select members of management to purchase up to 2,000,000 shares of Class A Common Stock (the “Options”), subject to approval by the Company's shareholders, which approval was obtained on October 31, 2025. For accounting purposes, the Options were not deemed to be granted until shareholder approval was obtained on October 31, 2025. No consideration was received by the Company for the granting of the Options. Due to the limited share reserve under the 2021 Incentive Plan, the Options were approved outside the 2021 Incentive Plan. Notwithstanding the foregoing, the Options will be governed in all respects as if issued under the 2021 Incentive Plan, except with respect to the 2021 Incentive Plan’s minimum vesting requirements. The Options are structured as a commitment by the grantee to exercise a predetermined number of Options every quarter for eight quarters (such committed number of Options, the “Mandatory Exercise Options”) at an exercise price per share of $10.00, which reflected the fair market value of a share of Class A Common Stock on the date of the grant. For each quarter in which the grantee exercises the Mandatory Exercise Options, the grantee will be entitled to exercise an additional number of Options (the “Optional Exercise Options”), which Optional Exercise Options will become exercisable for a period of one year. If a grantee does not exercise the Mandatory Exercise Options in any quarterly tranche during the applicable mandatory exercise period, then the grantee's remaining Options (in respect of the current quarterly tranche and any subsequent quarterly tranche) will be forfeited automatically. The Company’s stock option plan (the "Option Plan") permits early exercise of options, allowing the grantee to purchase shares prior to the vesting date, subject to the commencement of the first mandatory exercise period. Shares acquired through early exercise of unvested options are subject to transfer restrictions and may not be sold or otherwise disposed of until the applicable vesting conditions are satisfied. In order to further facilitate management’s continued participation and investment in Company growth, in the event that any Options are forfeited by a grantee in accordance with the forfeiture terms set forth above, the Options will be available for reallocation and future grant by the Compensation Committee to service providers of the Company, as identified by the Compensation Committee, and which subsequent grants will be in the form of stock options made on the same terms as the Options and will have an exercise price equal to or greater than fair market value as of such applicable date of grant. As of June 30, 2026, 90,005 options have been exercised for proceeds of $0.8 million. Employment Awards On May 7, 2026, the Company granted equity awards to Daniel Charles Ishag in connection with the Company's acquisition of Gyzer and Ishag's concurrent appointment as the Company's Chief Commercial Officer. The equity awards consist of 94,595 shares of Bakkt Class A common stock (the "Consideration Shares"), warrants exercisable for 50,000 shares of Common Stock (the "Consideration Warrants), and a warrant exercisable for 200,000 shares of Common Stock (the "Employment Agreement Warrant"). All securities are recognized as equity-based compensation in accordance with FASB ASC Topic 718, Compensation – Stock Compensation. The Employment Agreement Warrant has two vesting components. The time-based component provides that 30,000 shares will vest ratably in four equal installments of 7,500 shares on the six-, 12-, 18-, and 24-month anniversaries of the grant date, subject to continued employment. The performance-based component provides that 170,000 shares will vest in four tranches of 42,500 shares each upon Bakkt achieving aggregate platform trading volume thresholds of $1.0 billion, $1.25 billion, $1.5 billion, and $1.75 billion, respectively, during the two-year performance period. The warrant has an exercise price of $10.00 per share, terminates in July 2028, and is subject to forfeiture if applicable vesting conditions are not met. The Company recognizes stock-based compensation expense equal to the grant date fair value of the awards over the applicable service and performance periods. Determination of Fair Value of the Employment Awards The Consideration Shares and Consideration Warrants were valued using Monte Carlo simulation with 100,000 trials to model whether the $25.00 price hurdle or $250 million trading volume threshold would be achieved. The Employment Agreement Warrant was valued using the Black-Scholes option pricing model. For the 30,000 time-based shares, no probability adjustment was applied. For the 170,000 performance-based shares, the model incorporated management's estimated probability of achievement for each trading volume threshold.
For the Employment Agreement Warrant performance-based tranches, management estimated probabilities of 55%, 50%, 45%, and 40% for the $1.0 billion, $1.25 billion, $1.5 billion, and $1.75 billion thresholds, respectively. Volatility was derived from a weighted blend of Bakkt's observed volatility since its strategic pivot (42% weighting at issuance, 46% at valuation) and top quartile guideline public company volatility (58% and 54%, respectively). Risk-free rates were based on two-year U.S. Treasury note yields, consistent with the award performance periods. Share-Based Compensation Expense During the three and six months ended June 30, 2026, the Company granted 232,062 and 283,777 RSUs respectively to employees and directors under the 2021 Incentive Plan. During the three and six months ended June 30, 2026 the Company granted no PSUs to employees and directors under the 2021 Incentive Plan. During the three and six months ended June 30, 2025, Bakkt granted 160,032 and 887,881 RSUs respectively to employees and directors under the 2021 Incentive plan. During the three and six months ended June 30, 2025, Bakkt granted 1,793,873 PSUs to employees and directors under the 2021 Incentive plan. Bakkt recorded $0.9 million and $2.0 million of share-based compensation expense related to RSUs during the three and six months ended June 30, 2026, respectively. Bakkt recorded $3.1 million and $5.7 million of share-based compensation expense related to RSUs during the three and six months ended June 30, 2025, respectively. The Company recorded $1.2 million and $2.9 million in share-based compensation expense related to PSUs during the three and six months ended June 30, 2026, respectively. The Company recorded $2.7 million and $3.2 million of share-based compensation expense related to PSUs during the three and six months ended June 30, 2025. Share-based compensation expense for both RSUs and PSUs is included in “Compensation and benefits” in the consolidated statements of operations, except where classified as Restructuring expenses for certain accelerated vestings as described below. Due to the Option Plan’s early exercise feature, the Company recognized the full grant-date fair value of the stock options during the year ended December 31, 2025. Unrecognized compensation expense as of June 30, 2026 and December 31, 2025 was $4.0 million and $6.5 million, respectively, for the RSUs and PSUs. The unrecognized compensation expense as of June 30, 2026 and December 31, 2025 will be recognized over a weighted-average period of 1.18 years and 0.80 years, respectively. RSU and PSU Activity The following tables summarize RSU and PSU activity for the six months ended June 30, 2026 and June 30, 2025 (in thousands, except per unit data):
During the three and six months ended June 30, 2025, Bakkt recorded $1.9 million and $1.9 million, respectively of share-based compensation expense related to the accelerated vesting of awards for certain employees, primarily related to the sale of Bakkt Trust and the termination of a former executive. Total fair value of vested RSU and PSU awards was $3.2 million and $4.8 million respectively for the three and six months ended June 30, 2026. Total fair value of vested RSU and PSU awards was $4.1 million and $6.9 million, respectively, for the three and six months ended June 30, 2025. The fair value of the RSUs and PSUs used in determining share-based compensation expense is based on the closing price of the Company's Common Stock on the grant date for standard RSUs and PSUs. For PSUs with market conditions, fair value was determined using a Monte Carlo simulation model, along with a Geometric Brownian Motion formula to model stock price movements. The assumptions noted in the table below were used to estimate the fair value of the PSUs with market conditions.
PSUs provide an opportunity for the recipient to receive a number of shares of Common Stock based on various performance metrics. Upon vesting, each PSU equals one share of Common Stock. The Company accrues compensation expense for the PSUs based on management's assessment of the probable outcome of the performance conditions. No PSUs were granted during the six months ended June 30, 2026. PSUs awarded in 2025 are subject to market-based vesting conditions tied to the Company’s stock performance. Specifically, PSUs vest based on the achievement of a target stock price, determined using the volume-weighted average price ("VWAP") of the Common Stock over a specified period. Vesting occurs only if the Company's average stock price meets or exceeds predetermined VWAP thresholds during the measurement period and in many instances the recipients must provide at least one year of service. The metrics for PSUs granted during 2024 related to the Company's performance during fiscal year 2024, as measured against objective performance goals approved by the Board. The actual number of units earned range from 0% to 150% or 200% of the target number of units depending on the metric and achievement of the 2024 performance goals. PSUs granted in 2024 vest in two equal annual installments from 2025 to 2026. The metrics for PSUs granted during 2023 related to Bakkt's performance during fiscal year 2023, as measured against objective performance goals approved by the Board. The actual number of units earned range from 0% to 150% of the target number of units depending upon achievement of the 2023 performance goals. PSUs granted in 2023 vest in three equal annual installments from 2024 to 2026. Option Plan Activity The following table summarizes activity under the Option Plan for the six months ended June 30, 2026. There was no activity related to the Option Plan for the six months ended June 30, 2025.
Determination of Fair Value of Stock Options The Company estimated the fair value of the stock options granted under the Option Plan using a two-step valuation methodology. First, the Company determined the stock price at which recipients would elect not to exercise each tranche of Mandatory Options and instead forfeit all remaining unexercised Options. To estimate these inflection prices, the Company valued the remaining Optional Options using the Black-Sholes option pricing model and valued the remaining Mandatory Options as forward contracts. Following determination of the inflection prices, the Company utilized a Monte Carlo simulation model to estimate the fair value of the Options. The Assumptions noted in the table below were used to estimate the fair value of the stock options.
Opco Plan Preferred incentive units and common incentive units (collectively, “incentive units”) represented an ownership interest in Opco and were entitled to receive distributions from Opco, subject to certain vesting conditions. Opco classified incentive units as equity awards on its consolidated balance sheets. Participation units, issued directly by Opco to Opco Plan participants, did not represent an ownership interest in Opco but rather provided Opco Plan participants the contractual right to participate in the value of Opco, if any, through either a cash payment or issuance of Common Stock upon the occurrence of certain events following vesting of the participation units. Refer to Note 13 to the consolidated financial statements included in the Company's Annual Report on Form 10-K for the year ended December 31, 2025, where the modifications to the Opco Plan are described in detail. In connection with the Reorganization, each membership unit of Bakkt Management, LLC (the “Management Vehicle”) issued and outstanding immediately prior to the Reorganization was exchanged for the corresponding common unit of Opco (each such unit, an “Opco Incentive Unit”) granted under the Opco Plan, as amended, held by the Management Vehicle, together with the share of NewCo Class V Common Stock paired therewith, and each Opco Incentive Unit, together with the share of NewCo Class V Common Stock paired therewith, issued and outstanding immediately prior to the Reorganization was exchanged for the right to receive one validly issued, fully paid and nonassessable share of NewCo Class A Common Stock. Incentive Unit Activity There are no incentive units outstanding subsequent to December 31, 2025, therefore there was no incentive unit activity for the six months ended June 30, 2026. The following table summarizes common incentive unit activity under the Opco Plan for the six months ended June 30, 2025 (in thousands, except per unit data):
The Company did not make any cash payments to settle vested participation units during the six months ended June 30, 2025.
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