Bakkt Stock Soars. It Strikes Crypto Partnership With Mastercard.

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Bakkt

was rising sharply Monday after the digital asset platform unveiled a new partnership with

Mastercard

that expands cryptocurrency access to all of the payment giant’s customers.

Mastercard

(ticker: MA) plans to integrate crypto solutions from Bakkt (ticker: BKKT) across its bank and merchant networks. Consumers will be able to buy, sell and hold digital assets through wallets powered by Bakkt.

Mastercard partners also will be able to issue branded crypto credit and debit cards, and take part in loyalty programs that offer cryptocurrencies as rewards. Even merchants and restaurants will soon be able to offer rewards in Bitcoin instead of points, Bakkt CEO Gavin Michael told CNBC. Existing points can be converted to crypto at rates set by participating companies.

As of June 30, there were 2.9 billion Mastercard and Maestro-branded cards in circulation, according to the company’s second-quarter results.

“We’re incredibly excited to partner with Mastercard to bring crypto loyalty services to millions of consumers,” said Nancy Gordon, executive vice president of loyalty rewards and payments at Bakkt. “As brands and merchants look to appeal to younger consumers and their transaction preferences, these new offerings represent a unique opportunity to satisfy increasing demand for crypto, payment and rewards flexibility.”

Shares of Bakkt were soaring 162% Monday to $24.13. Mastercard was up 1%.

Bakkt was started by the Intercontinental Exchange (ticker: ICE), owner of the New York Stock Exchange, in 2018. It initially made waves by launching a Bitcoin future product, but pivoted to focus on a digital app that allows people to trade various digital assets such as cryptocurrencies, loyalty points and videogame rewards.

The company began publicly trading on the NYSE on Oct. 18, after announcing plans to merge with a special purpose acquisition company, or SPAC, in January. The deal valued Bakkt at $2.1 billion at the time.

The announcement comes just days after the Securities and Exchange Commission approved the first Bitcoin exchange-traded fund. Bitcoin bulls rallied around the cryptocurrency’s institutionalization, driving it to an all-time high of $66,974 last week.

The digital currency was trading at $63,003.48 on Monday, up 4.6%.

Write to Sabrina Escobar at [email protected]