- Kraken Exchange announced the launch of a new product for institutional investors.
- It combines spot and derivative trading, storage of funds and access to indices.
- Kraken noted the growing adoption of cryptocurrencies among companies.
Cryptocurrency exchange Kraken has announced the launch of a new service aimed at institutional investors. The Kraken Institutional division brings together a range of products including spot and derivatives trading, asset custody and index access through its subsidiary Kraken CF Benchmarks.
Introducing Kraken Institutional, a comprehensive crypto solution that offers institutions all they need to engage in the digital asset class.
Read Global Head of Institutional @Tim_Ogilvie‘s blog for more:
- Kraken Pro (@krakenpro) February 27, 2024
According to the statement, the platform is aimed at asset managers, such hedge funds and large companies. The division is led by Staked co-founder Tim Ogilvie, who joined Kraken in December 2021.
Ogilvie said that institutional adoption of the cryptocurrency continues to grow, and the recent approval of spot bitcoin-ETFs is only fueling demand.
As a reminder, cryptocurrency exchange Coinbase is partnered with eight crypto funds. At the same time, the company called the launch of cryptocurrency ETFs a “game changer.”
Trading platform Kraken is also looking to expand its services for institutional traders, the firm said in a statement. Presumably, it will compete with Coinbase Institutional and Coinbase Prime, which launched in 2021 to serve institutional investors.
“Kraken’s new product is aimed at paving the way for new entrants rather than capturing market share. It is designed for institutions that trade, host and store cryptocurrencies,” Ogilvie said.
Recall, in early February Kraken received a license of virtual asset service provider (VASP) in the Netherlands. The exchange also requested to dismiss the lawsuit filed against it by the SEC. In November 2024, the U.S. Securities and Exchange Commission accused it of lack of a license and trading in unregistered securities.
