Kraken's parent company, Payward, has entered into an agreement to acquire Bitnomial, a digital asset derivatives platform, in a cash-and-stock deal valued at up to $550 million. This transaction values the company at $20 billion. Bitnomial, founded over a decade ago, is the first crypto-native platform to obtain all three necessary licenses to operate a full-stack derivatives business in the US, including approvals for a designated contract market, a derivatives clearing organization, and a futures commission merchant.
The acquisition enables Payward to bypass years of regulatory development as it expands its US footprint. Kraken, a major US-based cryptocurrency exchange, allows users to buy, sell, and trade digital assets such as bitcoin and ether using fiat or crypto, and has expanded into services including derivatives, staking, and custody.
According to Payward Co-CEO Arjun Sethi, Bitnomial's crypto-native settlement, collateral, and 24/7 trading capabilities are crucial to the company's strategy. The deal activity in the crypto sector has picked up after a prolonged downturn, with firms seeking to consolidate capabilities and strengthen infrastructure following years of market volatility and regulatory scrutiny. Larger, well-capitalized players are targeting acquisitions that fill strategic gaps, such as custody, derivatives, or compliance, rather than pursuing growth at any cost. Kraken has been scaling up ahead of its planned initial public offering, having confidentially 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 difficult market conditions. Kraken has pursued a targeted M&A strategy focused on expanding beyond pure crypto trading into multi-asset and derivatives infrastructure.
The company's most significant transaction was its $1.5 billion acquisition of NinjaTrader in 2025, a US-based retail futures platform and CFTC-registered FCM. The combined platform will integrate Bitnomial's regulated infrastructure with Payward's global distribution and liquidity across brands, including Kraken and NinjaTrader. Initial offerings are expected to include spot margin, perpetual futures, and options for US clients under Commodity Futures Trading Commission oversight. The deal expands Payward Services, allowing banks, fintechs, and brokerages to access regulated US derivatives through a single API integration.
The transaction, covering 100% of Bitnomial's equity, is expected to close in the first half of 2026, pending customary conditions and regulatory filings.