Kraken preps for new crypto entrants with institutional-focused offering

“There is plenty of space for more than one institutional crypto offering,” Kraken exec says

article-image

Kraken and Adobe Stock modified by Blockworks

share

Crypto exchange Kraken has debuted a platform targeted at institutional investors in a bid to work with those getting involved in the crypto space.

The company’s new institutional brand was designed to pull existing Kraken offerings into one place for clients, according to Tim Ogilvie, global head of Kraken’s institutional business.

Such services include the company’s spot exchange, as well as its derivatives trading, qualified custody and indices via Kraken subsidiary CF Benchmarks. 

Read more: Kraken, OKX the latest crypto exchanges moving into new markets

“The diversification of the institutional market to include more types of asset managers makes this a timely development, particularly as the institutional adoption of crypto is expected to grow rapidly,” Ogilvie told Blockworks. 

Kraken Institutional’s full product suite is set to launch later this year, including “qualified custody” services offered by Kraken Financial — a Wyoming-chartered Special Purpose Depository Institution.

Various segment firms have drawn up crypto custody services in recent months after the US Securities and Exchange Commission proposed in February 2023 to require the “safekeeping of client assets” to what they call “qualified custodians.” 

Read more: Onramp, BitGo introduce latest iteration of crypto custody

“Kraken’s new institutional brand is less about grabbing existing market share and more about preparing the ground for new entrants as they start to engage in the digital asset class,” Ogilvie said. 

Kraken’s institutional brand launch comes about three years after Coinbase launched the beta version of Coinbase Prime, which offers custody, trading and analytics to institutions. 

The publicly traded Kraken rival more recently introduced a lending platform targeted at US institutional investors in September. It then debuted a smart contract platform letting institutions trade and create new digital assets.

Coinbase said in its fourth quarter shareholder letter published earlier this month that it grew its client base using its trade financing and portfolio margin products in Prime. 

Institutional customers staked $7.4 billion in assets through Coinbase Prime, and the exchange — a custodian for eight of the 10 US spot bitcoin ETFs — notched custodial fee revenue of $20 million during the fourth quarter.

“There is plenty of space for more than one institutional crypto offering,” Ogilvie said. “As more institutional investors start to enter the space, the total addressable market will only grow.”


Get the news in your inbox. Explore Blockworks newsletters:

Tags

Decoding crypto and the markets. Daily, with Byron Gilliam.

Upcoming Events

Old Billingsgate

Mon - Wed, October 13 - 15, 2025

Blockworks’ Digital Asset Summit (DAS) will feature conversations between the builders, allocators, and legislators who will shape the trajectory of the digital asset ecosystem in the US and abroad.

Industry City | Brooklyn, NY

TUES - THURS, JUNE 24 - 26, 2025

Permissionless IV serves as the definitive gathering for crypto’s technical founders, developers, and builders to come together and create the future.If you’re ready to shape the future of crypto, Permissionless IV is where it happens.

Brooklyn, NY

SUN - MON, JUN. 22 - 23, 2025

🚀 Build What’s Next — Permissionless IV Hackathon Join us June 22–23 in Brooklyn for the Permissionless IV Hackathon — a 36-hour sprint hosted by Cracked Labs and Blockworks where top builders turn ideas into real products. Come to launch, not just […]

recent research

Research Report Templates (10).png

Research

Kamino has evolved into a full-stack asset scaling suite with V2: unlocking new markets, improving capital efficiency, and catering to various risk profiles. We believe it is best positioned to become the credit backbone of Solana as the ecosystem matures. Simply put, KMNO remains our highest-conviction bet in the Solana ecosystem. This report lays out our thesis.

article-image

This isn’t the worst hack to ever hit Mt. Gox, but it could be the most entertaining

article-image

Crossover’s CEO discusses institutional interest and how over-the-counter (OTC) trading has picked up in crypto

article-image

Sponsored

This collaboration signifies a major leap forward in expanding the reach and utility of Web3 gaming within the vibrant Asian market

article-image

Asymmetric information is threatening crypto the same way it once threatened equities. Disclosure might be the fix.

article-image

Rate cuts drift into Q4 limbo as markets pretend everything’s fine

article-image

The FOMC held interest rates steady for the fourth-straight time on Wednesday