News

Breaking: Kraken Launches Custody Service In New Diversification Play

Kraken Exchange has launched its custody solution as it seek to deepen its foothold in service to institutional investors
Published by
Breaking: Kraken Launches Custody Service In New Diversification Play

Highlights

  • Kraken has launched Kraken Custody
  • The service will help the exchange in its diversification agenda
  • Kraken now more attractive to institutional investors

Kraken, one of the leading cryptocurrency exchanges, has unveiled its Qualified Custody Solution tailored for the US market. As unveiled, Kraken Financial holds all reserve deposits, which makes it the most suitable service provider for Kraken Institutional to offer qualified custody. 

Advertisement

What the New Kraken Custody Solution Offers

With the increasing interest from institutional investors in the cryptocurrency space, the need for custody solutions has become paramount. Kraken’s Qualified Custody Solution addresses this demand by providing an infrastructure that meets the rigorous standards set by regulators in the United States.

Kraken Financial is responsible for managing Kraken Custody, a service that allows clients to store, manage, and transfer cryptocurrency assets. This service guarantees the safety and integrity of clients’ digital assets. The platform will offer multi-layered security protocols, advanced encryption techniques, and comprehensive insurance coverage to ensure the highest level of security.

By adhering to strict regulatory guidelines, Kraken aims to instill confidence in institutional investors and facilitate participation in the crypto market. In addition to enhancing security and regulatory compliance, Kraken’s custody solution also streamlines the process of managing digital assets for institutional investors. 

Through its integration with existing systems, the platform simplifies asset custody and administration, enabling clients to focus on their investment strategies with peace of mind.

Additionally, Kraken’s entry into the crypto custody space underscores the growing maturity of the cryptocurrency market. As institutional adoption rises, the need for reliable infrastructure and service providers becomes increasingly apparent. Kraken’s custody solution positions the exchange as as viable competitor to institutional investors looking to navigate the complexities of the crypto landscape.

Advertisement

Kraken Entering the EU Market

It is noteworthy that Kraken has been eyeing the Dutch market for quite some time now. As such, the exchange successfully secured a Virtual Asset Service Provider (VASP) registration from the Dutch Central Bank (DNB) as part of its European expansion. The registration pushed the digital asset company to consider the acquisition of Netherlands-based cryptocurrency exchange Coin Meester B.V. (BCM).

Kraken’s push into the European market is driven by the presence of a robust regulatory framework in the region, one of the factors missing in the United States. Last year, the European Union rolled out its Markets in Crypto-Assets (MiCA) regulatory framework. Aside from the Netherlands, Kraken holds different licenses from Ireland, Spain, and Italy.

Advertisement

Share
Godfrey Benjamin

Benjamin Godfrey is a blockchain enthusiast and journalists who relish writing about the real life applications of blockchain technology and innovations to drive general acceptance and worldwide integration of the emerging technology. His desires to educate people about cryptocurrencies inspires his contributions to renowned blockchain based media and sites. Benjamin Godfrey is a lover of sports and agriculture. Follow him on X, Linkedin

Published by
Why trust CoinGape: CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights to our readers. Our journalists and analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.
Investment disclaimer: The content reflects the author’s personal views and current market conditions. Please conduct your own research before investing in cryptocurrencies, as neither the author nor the publication is responsible for any financial losses.
Ad Disclosure: This site may feature sponsored content and affiliate links. All advertisements are clearly labeled, and ad partners have no influence over our editorial content.

Recent Posts

  • News

Analyst Turn Bullish with $400 SOL Target as Hong Kong Approves First-Ever Solana ETF in Asia

Hong Kong has officially approved the region’s first-ever Solana ETF in Asia. This comes as…

October 22, 2025
  • News

Veteran Trader Peter Brandt Says “MSTR Could Go Underwater” If Bitcoin Repeats 1977 Soybean Crash

Peter Brandt has drawn a comparison between Bitcoin’s current price pattern and the 1977 soybean…

October 22, 2025
  • News

BSC Meme Season Ends as PumpFun Surpasses Four Meme Amid $8M Inflows

The latest market data suggests that the BSC Meme Season may be coming to an…

October 22, 2025
  • News

ProShares Files for Index Crypto ETF Tracking Bitcoin, Ethereum, XRP, and Solana

Asset manager ProShares is seeking to establish a new crypto ETF tracking the CoinDesk 20…

October 22, 2025
  • News

Trump Says Meeting with China May Not Happen, Bitcoin Drops

U.S. President Donald Trump has cast doubts over his meeting with China's President Xi Jinping.…

October 21, 2025
  • News

The Great Rotation? Bitcoin Rises as Gold Sees Largest Daily Drop Since 2013

Experts have indicated that a rotation might be occurring with investors moving from gold to…

October 21, 2025