Payward, the Wyoming-based parent of cryptocurrency exchange Kraken, is in discussions with Wells Fargo (NYSE: WFC) about serving as a liquidity provider for the bank’s digital asset trading activities, according to individuals familiar with the private conversations.
Under the potential arrangement, Payward would supply market depth and execution support for crypto asset trades, allowing the major U.S. bank to expand client access without constructing its own full trading infrastructure from scratch.
The talks remain ongoing with no certainty of a final agreement, and representatives from both organizations have declined to comment.
This development fits a broader pattern of established banks collaborating with specialized crypto firms rather than treating them solely as competitors.
A more supportive US regulatory climate has facilitated the shift, including the GENIUS Act enacted in July 2025, which created a federal framework for payment stablecoins and clarified pathways linking digital asset markets to traditional banking systems.
Wells Fargo has already taken steps into digital assets by offering spot bitcoin exchange-traded funds to eligible wealth management clients, backing compliance technology firm Elliptic and trading platform provider Talos, outlining plans for blockchain-based deposits, and joining a consortium focused on a dollar stablecoin.
Earlier in 2026, the bank reinforced its digital assets team by bringing on Mark Gracia, a former Citi banker.
Wells Fargo also acted as Nasdaq’s exclusive capital markets adviser on the exchange operator’s September agreement to invest $100 million in Payward—valuing the crypto company at roughly $21 billion—while expanding collaboration on tokenized equities and market surveillance tools.
Shortly before the Wells Fargo reports emerged, custody and asset-servicing giant BNY was disclosed to be in separate talks with Payward over a wider infrastructure partnership.
Those discussions, based on accounts from people close to the matter, could cover digital asset products, custody services, wealth management, trading, payments, and related market infrastructure, delivered largely through Payward Services, the company’s business-to-business platform serving banks, exchanges, and asset managers.
Elements of any arrangement might echo the infrastructure components of Payward’s recent commercial agreement with Nasdaq.
Both BNY and Payward declined to comment, and the conversations carry no guarantee of a completed deal.
These bank-focused initiatives form part of Payward’s longer-term push to expand beyond its core exchange operations into broader regulated financial services.
Earlier in 2026, the company was reported to be pursuing a full banking license in Europe, with Lithuania identified as the target jurisdiction.
Success would make it the first cryptocurrency exchange to hold such authorization on the continent, following a path similar to that of Revolut, which received a specialized banking license from Lithuania’s central bank in 2018 enabling accounts, lending, and trading across the European Economic Area.
Other fintechs licensed in the country include Mano Bank, PayRay, European Merchant Bank, AB Fjord Bank, and Saldo Bank.
Co-CEO Arjun Sethi has described a decade-long strategy of securing licenses globally either by acquiring existing businesses or establishing new ones from the ground up.
In the United States, Kraken Financial became the first digital asset bank to gain access to the Federal Reserve’s payment infrastructure in March 2026. Payward has also obtained authorization from Dubai’s Virtual Assets Regulatory Authority.
Collectively, the reported bank discussions and European licensing efforts illustrate Payward’s strategy of embedding its trading, payments, and infrastructure capabilities more deeply within traditional finance while building its own regulated banking footprint.