American crypto trading giant Kraken has snapped NinjaTrader in a deal that will see it bring tradFi futures trading to the digital currency ecosystem
Kraken, a major U.S.-based exchange, has significantly expanded the cryptocurrency arena. In an update shared with the broader crypto community, Kraken revealed that it has acquired NinjaTrader. The acquisition deal set Kraken back by $1.5 billion.Â
Kraken Expands Influence to TradFi
The deal is described as historic and one of the industry’s largest traditional finance (TradFi) and crypto collaborative acquisitions. This move could signal a shift in the broader financial space and a sign of what could become the norm as adoption grows.
Notably, Kraken is aiming to become a comprehensive trading platform. The acquisition could integrate traditional markets like stocks and futures with crypto assets.
Additionally, the move strengthens Kraken’s position in futures trading, derivatives, and traditional asset classes. This gives Kraken an advantage over other exchanges due to its versatility. Kraken can conveniently offer different forms of trading options under one platform.
Analysts believe the move could attract more institutional traders and retail investors into the crypto space, using Kraken as an entry point.
Additionally, the deal could trigger an increase in Kraken’s user base as NinjaTrader users are added to the platform.
According to CoinMarketCap, Kraken is currently the tenth-largest cryptocurrency spot exchange. This ranking is based on Kraken’s liquidity, traffic, and trading volumes. It remains to be seen if the recent deal could increase ranking.
This deal comes barely six months after Kraken expanded its footprint into the European Union. As reported by BGECrypto, Kraken acquired Coin Meester B.V. (BCM), a registered broker in the Netherlands.
The acquisition legally authorized Kraken to offer a Virtual Asset Service Provider (VASP) directly to users in the country, an indication of its global expansion moves.
U.S. Regulatory Shifts Favoring Crypto Growth
Meanwhile, the Securities and Exchange Commission (SEC) dismissed a lawsuit it instituted against Kraken, accusing it of operating illegally. The dismissal was one of several highlights in the crypto industry that signal a more friendly regulation under President Donald Trump’s administration.
Industry stakeholders are still anticipating more policy shifts that could encourage faster institutional adoption of crypto assets. This would include clear-cut rules that govern the trading of digital assets and drive widespread adoption.
Some consider President Trump’s executive order establishing a Bitcoin Strategic Reserve a notable step towards fulfilling his electioneering promises. As per President Trump’s White House czar for AI and cryptocurrency, David Sacks, the reserve will house all government-seized assets.
Disclaimer: The information provided in this article is for informational purposes only. It does not constitute investment, financial, trading, or any other sort of advice. You should not treat any of BGECrypto’s content as such. BGEcrypto does not recommend that any cryptocurrency should be bought, sold, or held by you. Do your due diligence and consult your financial advisor before making any investment decisions.
