Payward, the parent company of cryptocurrency exchange Kraken, has agreed to acquire digital asset derivatives platform Bitnomial in a cash-and-stock deal valued at $550 million. This transaction values Bitnomial at $20 billion and gives Payward a fully licensed US crypto derivatives stack, enabling it to expand its presence in regulated markets. Bitnomial, founded over a decade ago, is the first crypto-native platform to secure all necessary licenses to operate a full-stack derivatives business in the US, including approvals for a designated contract market, derivatives clearing organization, and futures commission merchant.
The acquisition allows Payward to bypass years of regulatory development, accelerating its US expansion. Kraken, a major US-based cryptocurrency exchange, offers services such as spot trading, derivatives, staking, and custody, positioning itself as a comprehensive trading platform. The acquisition of Bitnomial complements Kraken's capabilities, particularly in the derivatives market, where it trails competitors like OKX, Bybit, and Coinbase. Payward Co-CEO Arjun Sethi emphasized the importance of Bitnomial's crypto-native settlement, collateral, and 24/7 trading capabilities in the company's strategy.
The deal reflects the increasing trend of consolidation in the crypto sector, as larger players target strategic acquisitions to fill gaps in their infrastructure and capabilities. Kraken has been scaling up ahead of its planned initial public offering, having submitted a draft S-1 to the US Securities and Exchange Commission in November last year. However, the company has put its IPO plans on hold due to challenging market conditions. The acquisition of Bitnomial is part of Kraken's strategic expansion into multi-asset and derivatives infrastructure, following its $1.5 billion acquisition of NinjaTrader in 2025.
The combined platform will integrate Bitnomial's regulated infrastructure with Payward's global distribution and liquidity, offering spot margin, perpetual futures, and options for US clients under the oversight of the Commodity Futures Trading Commission. The transaction is expected to close in the first half of 2026, pending customary conditions and regulatory filings.