Kraken Unveils Qualified Custody Solution for Crypto in the US

March 20, 2024 at 09:30 AM EDT

Kraken Financial will provide a custody solution that elevates both security and service for clients

Kraken Institutional, the dedicated brand for bespoke crypto solutions for institutional investors from one of the longest-standing and most secure cryptocurrency exchanges, has formally launched its qualified custody solution, offered through Kraken Financial, its state-chartered bank.

Headquartered in Wyoming, USA, Kraken Financial is authorized to offer digital asset custody and deposit accounts for institutions. As per its charter, Kraken Financial holds all deposits in full-reserve, making it the natural service provider through which Kraken Institutional can offer qualified custody.

“Custody has always been integral to the institutional crypto space and the recent success of the bitcoin ETFs has only underscored the need for a broader range of qualified custodians,” said Tim Ogilvie, Head of Kraken Institutional. “Kraken has 12+ years of experience in safeguarding client assets and a qualified custody solution is a core part of a full-service institutional offering. The release of Kraken Custody is well-timed to provide the market with an alternative via a secure and trusted provider.”

Kraken Financial is a segregated entity, where funds and assets are held remote from Kraken and are available for withdrawal at all times. Kraken Financial offers a familiar structure for clients coming from traditional finance looking to enter the digital asset class, with the safety and security they expect from a regulated financial institution.

Kraken Financial will house Kraken Custody, the secure custody offering for clients who want to store, manage and transfer crypto assets all from one interface. Assets in custody will be protected by cutting-edge security protocols built in-house by Kraken’s leading cybersecurity team. Kraken Custody will combine this best-in-class security with a seamless integration to the rest of the Kraken product suite so clients can act in the fast-paced world of crypto while their funds remain in segregated accounts.

“The state of Wyoming’s clear regulatory structure means Kraken Financial can offer qualified custody that fully meets institutions’ requirements,” said Trevor Rutar, CEO of Kraken Financial. “Under the supervision of the Wyoming Division of Banking, Kraken Financial will be subject to some of the most rigorous security and operational checks of any crypto custodian. This makes Kraken Financial the ideal entity to offer custody in line with what institutions need to engage in the crypto asset-vertical.”

Rutar continued: “Kraken is uniquely suited to provide qualified custody. We operate one of the most responsive client engagement and account management teams in the market, with a brand that institutions associate with trust. Kraken Custody will be a continuation of the same mission we’ve pursued for over a decade: give clients secure and seamless access to crypto.”

For more information, please reach out to press@kraken.com. Learn more about Kraken’s custody offering here.

Kraken Financial is not an FDIC-insured bank and deposits are neither insured by nor subject to the protections of the FDIC.

About Kraken

Kraken is one of the world’s longest-standing and most secure crypto platforms. Our mission is to accelerate the global adoption of crypto, so that everyone can achieve financial freedom and inclusion. Globally, Kraken clients trade more than 200 digital assets and 6 different national currencies, including GBP, EUR, USD, CAD, CHF, and AUD.

Founded in 2011, Kraken was among the first to offer spot trading with margin, parachain auctions, staking, regulated derivatives and index services under one roof. Trusted by over 10 million individuals, traders and institutions around the world, Kraken offers professional 24/7/365 client support along with one of the fastest, most performant trading platforms available. Kraken has set the industry standard for transparency and client trust, and was the first crypto platform to conduct Proof of Reserves. In 2023, Kraken ranked 16th in Newsweek's Global Top 100 list of Most Loved Workplaces, recognizing how the platform offers one of the world's most compelling employment opportunities.

Kraken markets can be monitored and traded via the web or through the Kraken and Kraken Pro iOS and Android apps.

For more information about Kraken, please visit www.kraken.com.

Kraken is backed by investors including Tribe Capital, SkyBridge, Hummingbird Ventures, Blockchain Capital, Digital Currency Group, among others.