Kraken Accelerates Crypto Platform Expansion as Revenue Leaps 18%

Crypto platform Kraken said Wednesday (July 30) that it accelerated the building of its offerings in the second quarter and is focused on doing the same through the remainder of the year.

“Kraken is in build mode,” the firm said in its second quarter financial highlights released Wednesday. “We are creating a multi-asset platform that enables anyone to trade anything, anytime, anywhere.”

The company said this while reporting year-over-year increases of 18% in its revenue, 19% in its total exchange volume, 37% in its funded accounts, and 47% in the assets on its platform.

“We continued to grow our share of spot volume,” the firm said. “This was driven by continued investments enhancing product experience, as well as our strong position in stablecoins, where our share of stable-fiat spot volumes grew from 43% to 68%.”

Kraken’s additions to its offerings in the second quarter included, for professionals, a Markets in Financial Instruments Directive (MiFID)-regulated crypto futures suite in Europe and a regulated U.S. derivatives offering for U.S. users.

For institutional clients, the company launched a full-service prime brokerage called Kraken Prime, added reward-bearing USDG and custody support for SOL and XRP to Kraken Custody, and introduced a white-label crypto-as-a-service solution called Kraken Embed.

Kraken also updated its consumer products by introducing U.S. equities trading in the Kraken app for most U.S. states, tokenized equities and exchange-traded funds (ETFs) called xStocks, a global money app called Krak, a dedicated Brazil offering, and a premium membership called Kraken+.

During the second half of the year, the company plans to extend commission-free stock and ETF trading to markets outside the U.S., offer tokenized equities in more jurisdictions, introduce physical and virtual debit cards for spending fiat and crypto, and extend the reach of the NinjaTrader platform.

“We are building the backbone of a new financial system; one product, one market and one breakthrough at a time,” Kraken said in the report.

Brett McLain, head of payments and blockchain at Kraken, told PYMNTS in June that the company’s crypto-as-a-service solution aims to build the plumbing for the next generation of financial services.

“I’ve spoken with probably dozens of banks in the last month about stablecoins and their stablecoin strategy and how we can help power that,” McLain said.