- Crypto exchange Kraken buys non-custodian startup Staked, focused on developing tools for staking cryptocurrencies.
- With the acquisition of Staked, our clients have more choice of tools to manage their assets while staking cryptocurrencies on Kraken, ”the representatives of the crypto exchange commented on the project’s need for Staked tools.
- As a reminder, the Kraken crypto exchange acquired Crypto Facilities in 2019.
The solution of the trading platform allowed its clients to refuse to transfer access keys to the cryptocurrency during its staking. Crypto exchange Kraken buys non-custodian startup Staked, focused on developing tools for staking cryptocurrencies. Information about this appeared in a press release .
The parties did not disclose the details of the deal. At the same time, the Kraken team drew attention to the fact that the purchase of Staked has become one of the largest transactions of this kind in the crypto industry.
Against the background of the acquisition of a startup, the crypto exchange will develop new staking products and expand the number of proof-of-stake networks supported by the platform. Also, with the purchase of Staked, the Kraken team offered their clients a number of additional tools for making money in the staking market. In particular, users of the platform were able to refuse to transfer the keys to access assets to a third party for the duration of their work.
“Not your keys – not your cryptocurrency” is a popular expression in the crypto community. Kraken, as a provider of services and tools for secure access to digital assets, does not adhere to this philosophy. At the same time, we respect the opinion of our clients, who, on the contrary, consider it appropriate. We also respect their rights to self-store cryptocurrency. With the acquisition of [Staked], our clients have more choice of tools to manage their assets while staking cryptocurrencies on Kraken, ”the representatives of the crypto exchange commented on the project’s need for Staked tools.
Kraken gets licensed in UK
Crypto Facilities, a subsidiary of the Kraken crypto exchange, has been licensed by MLR (Money Laundering Regulations) in the UK. Now the crypto company will be able to offer more financial instruments based on cryptocurrencies.
- The Financial Conduct Authority (FCA) approved the crypto exchange’s MLR application on November 3, the press release said.
- The MLR license means that Crypto Facilities meets the same anti-money laundering standards as banks, brokers or investment firms.
- It is still unknown what new services the trading platform will launch.
- Crypto Facilities issues BTC, ETH, XRP, BCH and LTC futures contracts with 50x leverage. The company also provides data for the CME CF Bitcoin Reference Rate Index, the underlying bitcoin futures of the Chicago Stock Exchange.
As a reminder, the Kraken crypto exchange acquired Crypto Facilities in 2019. Kraken CEO Jesse Powell said at the time that with the acquisition, the exchange would not have to waste time obtaining licenses and permits to trade derivatives in Europe. Last year, Crypto Facilities became the first crypto company to receive an asset trading license (MTF) from a UK regulator.
By the way, until recently, government bodies were negatively disposed towards digital money, but now the situation is gradually changing. For example, according to official figures, as of 2021, at least 20 central banks are in the process of developing their own cryptocurrency. In this regard, experts do not exclude that over the next 10-15 years, billions of people will discover investing in cryptocurrency , and will also use it to pay and store assets.
It is noteworthy that in September the American Commodity Futures Trading Commission (CFTC) fined the Kraken crypto exchange $ 1.25 million. The agency accused the trading platform of illegally providing US users with tools for trading margin products based on bitcoin and other cryptocurrencies.