Payward, the parent company of crypto exchange Kraken, and fintech company SoFi Technologies announced a partnership to integrate cryptocurrency trading with banking services. Under the deal, SoFi will route its customers' digital asset orders through Kraken Prime, Kraken's institutional trading platform.
Kraken Prime uses smart order routing technology to compare prices and liquidity across multiple trading venues before executing trades. SoFi customers will experience no changes to the company's mobile app interface.
As part of the agreement, Payward is joining SoFi Exchange Network, the bank's real-time settlement system. Kraken will also list SoFiUSD, SoFi's bank-issued stablecoin, on its exchange platform.
In return, Kraken Prime's institutional and business clients will gain access to SoFi's business banking services and continuous fiat settlement capabilities. The companies indicated that qualified custody services would become available at a later date.
SoFi holds a national bank charter and serves 15.8 million members. The bank became the first nationally chartered bank in the United States to launch retail cryptocurrency services last year, enabling customers to buy, sell, and hold bitcoin directly within their bank accounts.
The partnership represents Kraken's latest expansion into traditional finance. The exchange has previously announced arrangements with Deutsche Börse on foreign exchange and derivatives infrastructure, Nasdaq on tokenized equities, and Franklin Templeton on exchange-traded fund tokenization. Kraken has positioned itself as a comprehensive financial platform, allowing users to trade stocks, bonds, and other assets alongside digital currencies.
