Crypto company Bakkt, backed by the Intercontinental Exchange (ICE) and launched in 2019 to a great deal of fanfare — has just warned it may not have enough cash to stay in business over the next 12 months.

On Feb. 7, Bakkt filed an amendment to its quarterly report with the Securities and Exchange Commission, with one section on risk factors containing a warning that it may “not be able to continue as a going concern.”

Bakkt explained that it no longer believes its cash and restricted cash are sufficient to fund its operations over the next 12 months.

“There is significant uncertainty associated with our expansion to new markets and the growth of our revenue base given the rapidly evolving environment associated with crypto assets.”

The company was founded in 2018 amid a lot of hype by Intercontinental Exchange, which owns the NYSE. At the time, Bakkt was seen as the key to Bitcoin opening doors to institutional investors amid a deepening bear market.

The most recent filing however warns the firm may not have enough cash to continue operating unless it either significantly increases revenue or obtains new cash. 

We “cannot conclude it is probable we will be able to increase revenues substantially beyond levels that we have attained in the past in order to generate sustainable operating profit and sufficient cash flows to continue doing business without raising additional capital in the near future,” it said. 

Bakkt says it’s now looking to raise additional capital by issuing up to $150 million in registered securities in the public markets to “fund our long-term vision.”

A newly filed amended Form S-3, once effective, will allow the firm to “issue up to $150 million in registered securities in the public markets to raise additional capital,” it said.

This is a developing story, and further information will be added as it becomes available.