Kraken is stepping up its crypto game. After a successful year, the US stock exchange decided to close 2021 with the acquisition of Staked, thereby expanding its token staking capabilities and improving the quality of its services overall.
Staked is a non-custodial crypto staking platform, which facilitates the secure storage of assets while providing attractive yield options for investors.
An acquisition that makes sense
According to a press release shared by the Kraken team, the exchange bought Staked for an undisclosed sum, and Staked customers will now become Kraken customers across the board.
That is, instead of having several projects running in parallel, Kraken will condense all services onto its platform. Jesse Powell, CEO and co-founder of Kraken was quite optimistic about the acquisition and said that this move could be strategic for the future of the exchange:
“We are excited to add Stake to our portfolio of yield products, which has been widely adopted by a growing population of crypto investors. Staking is very complementary to our existing staking business and will allow us to further strengthen our product offering through a world-class infrastructure for clients who prefer to retain custody of their on-stake assets ”.
Tim Ogilvie, CEO of Staked, said that the union is logical as both parties share similar goals. After the acquisition, users would benefit significantly from Staked’s options and the other services to which they would have access, thanks to Kraken’s technology.
Kraken and the battle for the American market
The acquisition of Staked plays an important role in Kraken’s race to conquer the American market. As other exchanges begin to invest money to attract audiences with innovative proposals, Kraken has taken a less aggressive approach, focusing on strengthening its infrastructure.
Staked would be Kraken’s fifth acquisition in 2021. The exchange has seen overall growth of nearly 430% so far this year, but its staking services have increased 950% in the same time frame. Staking rewards have already reached $500 million distributed to investors.
Kraken is thus positioning itself as a major player in the American market for staking services. For example, Galaxy digital acquired the cryptocurrency custody service BitGo in May and Coinbase launched its staking service in 2020. However, the most important growth driver for the main US exchange was undoubtedly its public listing. .
Kraken has also hinted its interest in following Coinbase’s path and going public. Cryptopotato previously reported that Kraken CEO, Jesse Powell, was considering the idea of coordinating an IPO instead of a direct listing. Powell made that clear during an interview with Fortune:
An IPO looks a bit more attractive in light of the performance of the direct listing. I would say we’re taking a more serious look at it now, having the benefit of seeing how the direct public offering went for Coinbase.
Other exchanges looking to expand their influence in the U.S. market include Binance US, FTX and Crypto.com, so U.S. users have good options to choose from, which is a relief given the country’s restrictive regulatory conditions.
