Kraken Acquires Crypto Derivates Startup for at Least $100 Million
Kraken, a San Francisco-based exchange with more than 60 trading pairs for 20 different cryptocurrencies, announced Monday that it has acquired Crypto Facilities, a London-based regulated crypto trading platform and index provider, in a “nine-figure deal.”
Kraken acquires Crypto Facilities, positioning itself as the world’s first crypto spot and futures exchange! https://t.co/W4Xr1XNPpQ
— Kraken Exchange (@krakenfx) February 4, 2019
According to the announcement, Crypto Facilities was the first regulated entity to list futures for Bitcoin (BTC), Ethereum (ETH), XRP (XRP), Litecoin (LTC) and Bitcoin Cash (BCH). With the acquisition, Kraken will now offer clients with access to futures markets for the six crypto pairs, complementing the exchange’s current spot and white-glove OTC service.
“I’m thrilled to welcome the Crypto Facilities team into the Kraken family,” said Kraken CEO Jesse Powell. “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.”
This news comes less than two months after Kraken revealed that is looking to build a “war chest” of capital to fuel a seemingly aggressive M&A strategy to take advantage of depressed valuations caused by the 2018 bear market. As part of this strategy, Kraken is reportedly crowdsourcing a fundraising round at a $4 billion valuation.
More: Kraken Acquires Crypto Derivatives Trading Platform and Index Provider, Crypto Facilities, in Nine-figure Deal
Disclaimer: This article’s author has cryptocurrency holdings that can be tracked here. This article is for informational purposes only and should not be taken as investment advice. Always conduct your own due diligence before making investments.