Many crypto enthusiasts are waiting to buy there daily dose of Starbucks coffee with crypto tokens since the time, the coffee giant announced its collaboration with Bakkt, the cryptocurrency platform by Intercontinental Exchange.
According to a new report, Starbucks now holds “significant equity” in Bakkt, the said shared were a part of a mutually beneficial agreement.
The Block’s report further states that the coffee giant will install Bakkt’s payment software in its stores. Their consumers can use the software with crypto. The received digital assets will be converted to fiat, instantly, so as to keep cryptocurrencies off of Starbucks’ books.
While the amount of equity the coffee retailer had received in the deal is confidential, sources “suggest it is disproportionately high given they did not actually make a cash investment.” The partnership between Starbucks and Bakkt was announced last year in August.
Owned by Intercontinental Exchange, Bakkt has many crypto-related services in the pipeline for this year. There first order of business is to launch physically-backed Bitcoin futures, pending approval from the US Commodity Futures Trading Commission.
The phase two of Bakkt’s operation include its partnership with Starbucks and Microsoft that is also set to formulate later this year. The said phase is designed to utilize Microsoft’s cloud solutions in order to allow people to buy, sell, store and spend cryptocurrencies on a global network. Startbucks will power the aforementioned plans by allowing its customers to buy food and drinks with crypto.
The vice president of partnerships and payments Maria Smith of the coffee retailer, stated the plans, back in August:
“As the flagship retailer, Starbucks will play a pivotal role in developing practical, trusted and regulated applications for consumers to convert their digital assets into US dollars for use at Starbucks.
As a leader in Mobile Pay to our more than 15 million Starbucks Rewards members, Starbucks is committed to innovation for expanding payment options for our customers.”