Kraken, which claims to be one of the largest digital asset platforms, announced it has acquired Staked for “an undisclosed sum.”
Staked is described as a non-custodial staking platform that “enables investors in Proof-of-Stake networks to easily and securely compound their holdings.”
According to an update shared with CI, the acquisition “solidifies Kraken’s position as a [key] provider of staking services to consumers and institutions by expanding the number of supported networks and enabling a non-custodial alternative to Kraken’s existing custodial staking service.”
Jesse Powell, CEO and co-founder of Kraken, stated:
“We are excited to add Staked to our portfolio of yield products, which has seen great uptake by a growing population of crypto investors. Staked is highly complementary to our existing staking business and will allow us to further strengthen our product offering through [robust] infrastructure for clients who prefer to retain custody of their staked assets. We’re excited to welcome Staked’s clients to Kraken and believe that they will benefit from access to our wider portfolio of products as they seek to broaden their engagement with digital assets.”
Staked’s goal – to assist investors with generating consistent yield from staking without giving up custody of their digital assets – aligns with Kraken’s mission to offer convenient and highly-secure access to staking products.
By offering solid infrastructure as a service, Staked eliminates considerable barriers to entry while enabling customers to increase rewards.
Tim Ogilvie, CEO of Staked, remarked:
“Kraken clearly shares our commitment to supporting proof-of-stake networks, having a security-first mindset, and unwavering focus on customer experience, which makes them an ideal partner. Combining our businesses will enable us to provide a more seamless experience and expand our product offering to meet our clients’ needs in staking and beyond.”
The acquisition of Staked – Kraken’s fifth acquisition this year – is a key step in the firm’s strategy to “become the crypto portal of choice for both retail and professional investors.”
Kraken’s combined spot, margin and futures trading volume has increased by more than 430% this year.
Since the start of the year, the firm’s staking business has expanded by over 950% to almost $16 billion in November, “resulting in token rewards valued at more than $500 million being paid out to clients.”
Powell added:
“The success of our staking business demonstrates that Kraken has evolved into much more than a custodian and trading venue. We’ve become a holistic crypto platform with a diverse range of products that serves the needs of retail, professional, and institutional clients. Heading into the second decade in our company’s history, I’m excited about the future and Kraken’s continued support of the world’s shift to Web3 and DeFi.”