Key Insights
- Kraken expands its cryptocurrency custody services to institutional clients in the UK and Australia, marking its first international expansion.
- The custody service, launched in March, offers advanced security protocols and is integrated with Kraken’s broader institutional product suite.
LONDON (MarketsXplora) – Cryptocurrency exchange Kraken has extended its custody services to institutional clients in the United Kingdom and Australia, marking the first international expansion of the service since its U.S. launch earlier this year, the company announced on Thursday.
Kraken Custody, initially introduced in March, targets institutional clients with a comprehensive platform for digital asset management. The service offers advanced security protocols and access controls, integrated within Kraken’s broader product suite to support diverse crypto investment strategies.
Tim Ogilvie, Head of Kraken Institutional, highlighted the timing of the expansion, stating,
“Custody has always been integral to the institutional crypto space, and the recent success of the Bitcoin ETFs has only underscored the need for a broader range of qualified custodians.”
The custody service operates through Kraken Financial, a U.S.-based state-chartered bank, ensuring that clients’ digital assets are held separately from the Kraken exchange. This separation aims to provide an additional layer of security and regulatory compliance for institutional investors.
“Kraken has 12+ years of experience in safeguarding client assets, and a qualified custody solution is a core part of a full-service institutional offering,” Ogilvie added, emphasizing the company’s track record in the cryptocurrency industry.
The expansion comes amid growing institutional interest in cryptocurrencies, particularly following the approval of spot Bitcoin ETFs in the United States. Earlier this year, Kraken launched a dedicated platform for institutional clients, Kraken Institutional, incorporating various products and services tailored to the needs of institutional investors, asset managers, and hedge funds.
In addition to its custody services, Kraken operates a self-custodial digital wallet called Kraken Wallet, designed to enhance on-chain transactions and broaden accessibility to decentralized finance.