Kraken's revenue grows as it expands into tokenization
Payward, the parent company of the Kraken crypto exchange, announced an adjusted revenue of $507 million for the first quarter of this year. The company is expanding its operations into tokenized stocks, regulated derivatives in the U.S., and stablecoin payments. This is reported by Cointelegraph.com reports .
According to the report, futures trading volume grew by 51% compared to last year, and assets on the platform increased by 11%, reaching $40 billion. Additionally, the xStocks platform already supports 100 tokenized stocks, with plans to exceed 500 by the end of 2026.
As part of its strategy, Payward acquired Backed, Magna, and Bitnomial, and is also planning to acquire the payment system Reap in a deal worth up to $600 million. These acquisitions will allow the company to further develop its services in Asian, American, and European markets.
However, in line with general trends in the crypto industry, Kraken has laid off about 150 employees while increasing its use of artificial intelligence tools. It is suggested that this situation may delay the company's plans for a U.S. stock market listing until 2027.
The process of job cuts by companies in the crypto and financial technology sectors continues this year. Notably, major players like Coinbase and Block have also parted ways with thousands of employees to optimize costs and transition to artificial intelligence.
