Kraken has been one of the most secure crypto exchanges since its inception with has been a consistent leader in terms of Euro volumes. But even with a leading position, the exchange is still making every attempt to the best as it has now acquired a world-leading, regulated cryptocurrency trading platform and index provider called Crypto Facilities
Kraken and Crypto Facilities come together to create a global leader in futures trading
While the crypto industry is still pretty nascent, acquisitions have already become a great tool for growth for companies as it always them to grow in size or acquire new products or enter new geographies pretty easily. With a similar motive of committing to meeting client demand for innovative products and services that complement its core spot exchange and white-glove OTC service, Kraken has acquired regulated cryptocurrency trading platform and index provider London-based Crypto Facilities.
Coming out of the official announcement,
“London-based Crypto Facilities offers individuals and institutions transparent, secure, 24/7 trading on a range of cryptocurrency derivatives. A pioneer in the industry, the firm was the first regulated entity to list futures on Bitcoin, Ethereum, Ripple XRP, Litecoin and Bitcoin Cash. The firm is also the leading cryptocurrency index provider, calculating the CME CF Bitcoin Reference Rate that powers the CME Group’s Bitcoin futures. Users value the high integrity, low latency marketplace that Crypto Facilities provides under the regulatory supervision of the UK’s Financial Conduct Authority.”
While the acquisition gives Kraken strength in its derivative vertical, it also allows eligible Kraken clients gain access to futures on six cryptocurrency pairs, providing a highly efficient way to trade and hedge cryptocurrency in any market environment.
The Official announcement also quoted comments from both sides.
For Kraken CEO Jesse Powell said “I’m thrilled to welcome the Crypto Facilities team into the Kraken family,” “We are excited to introduce eligible clients to these industry leading futures and index products. Over the coming months, our teams will continue to enhance and expand these offerings. We’ve got great stuff in store for traders and institutional clients in 2019.”
He also twitted regarding the same using his Twitter account
— Jesse Powell (@jespow) February 4, 2019
For Crypto Facilities, CEO and Founder, Timo Schlaefer said, “It has been our mission to build the most sophisticated, powerful and user-friendly cryptocurrency trading platform. Teaming up with Kraken allows us to innovate the next generation of products and tremendously boosts the value we are able to provide to our clients.”
For Kraken acquisition has been a great way of moving forward as it has successfully acquired and integrated major exchanges like Coinsetter, Cavirtex, and CleverCoin; the award-winning wallet funding service Glidera; and the popular multi-exchange charting, trading and portfolio tracking platform Cryptowatch. And now with this nine-figure deal, which is Kraken’s largest acquisition to date and one of the largest the industry has seen, Kraken has just gone stronger.
Will Kraken acquire more exchanges to make its way to the top? Do let us know your views on the same.
Nilesh Maurya has been associated for past 8 years as an Investment Banker with Omega Capital, a bespoke Investment Banking outfit having offices in Mumbai, New York, Singapore, and Dubai. He has been a regular contributor to business publications such as Business India and Market Express and has been a mentor to many start-up companies. Nilesh Maurya has been associated for past 8 years as an Investment Banker with Omega Capital, a bespoke Investment Banking outfit having offices in Mumbai, New York, Singapore, and Dubai. He has been a regular contributor to business publications such as Business India and Market Express and has been a mentor to many start-up companies. Follow him on Twitter at @KoinKing1 or connect with me on linkedin.