The deal marks Kraken’s fifth acquisition this year, contributing to the company’s reported 950% growth this year
Cryptocurrency exchange Kraken said on Tuesday that it has completed the acquisition of Staked, a U.S.-based non-custodial platform. While the company did not disclose financial details of the transaction, it described the deal as ” one of the largest acquisitions in the crypto industry to date.“
With this new initiative, Kraken plans to expand support for proof-of-stake networks and introduce innovative products on its platform for customers.
Involved staff will remain on board
Staked’s CEO Tim Ogilvie and his full team will continue working as part of the business. Kraken’s CEO and co-founder Jesse Powell commented on the acquisition, expressing enthusiasm for Staked as a leading yield product that has attracted significant adoption among crypto investors.
He welcomed Staked’s customer base to their new home and explained that Staked provides a highly complementary addition to Kraken’s business model. As such, the acquisition will help the exchange strengthen its product offerings for customers who wish to retain and earn from their assets.
“We are excited to welcome Staked’s customers to Kraken and believe they will benefit from access to our broader portfolio of products as they seek to deepen their engagement with digital assets.”
Staked offers customers non-custodial staking and deposit solutions that enable users to earn from their crypto holdings without surrendering custody. This integration will therefore complement Kraken’s custodial deposit offerings. Additionally, Staked will join an exchange with world-class infrastructure that optimizes user experience and reduces barriers to entry.
Kraken has added crypto capabilities to its portfolio
Kraken’s deposit and yield business has seen substantial growth this year, reporting a 950% increase through November. The exchange’s deposit business reached $16 billion, and customers earned over $500 million in deposit-related yield.
Kraken’s acquisition and investment strategy has been a major driver of this expansion. In recent years, the company has added Bit Trade, Circle Trade, CryptoFacilities, CryptoWatch and other crypto firms to its portfolio. Powell noted that Staked is the fifth acquisition this year and said the company has evolved beyond providing only custody and trading services.
“We have become a comprehensive crypto platform with a diverse range of products serving retail, professional and institutional customers. As we enter the company’s second decade, I’m excited about the future and Kraken’s continued support for the world’s transition to Web3 and DeFi.”