Kraken, the U.S.-based cryptocurrency exchange, has announced the launch of a new suite of crypto derivatives products specifically for Australian wholesale clients. This move comes as Kraken aims to adhere to regulatory standards in Australia following a recent legal setback. The company’s licensed broker offering allows institutional clients to gain exposure to cryptocurrency price movements through derivatives, without actually holding the underlying assets.
This service includes multi-collateral support for fiat currency, stablecoins, and cryptocurrencies, ensuring a robust custodial solution for over 200 tradable assets. Despite facing challenges in the Australian market, Kraken remains committed to catering to institutional demand in the country’s evolving regulatory landscape.
This launch follows a court case in which Kraken’s domestic operator, Bit Trade Pty Ltd, lost to Australia’s financial regulator. The ruling emphasized the importance of crypto products meeting strict compliance measures to mitigate consumer risks.
Kraken’s General Manager for Australia, Jonathon Miller, stated that the introduction of the derivatives broker offering is in response to growing demand from institutional clients for compliant and highly secure trading options. To qualify for these services, an individual’s net assets must exceed $2.5 million, with a gross annual income surpassing $250,000 for the past two financial years.
Kraken has encouraged wholesale clients to explore the new offering via their support page, while existing clients can confirm their eligibility through the Kraken Pro app. As Kraken looks to differentiate itself from competitors such as Swyftx and OKX, it aims to provide institutional clients in Australia with advanced trading strategies through a licensed broker upheld by the exchange’s high-security standards.