Crypto exchange Kraken has launched a licensed brokerage service in Australia aimed at wholesale clients, particularly institutional and large-scale investors. This new service allows Australian clients to trade crypto-based derivatives, meaning they can invest in financial products linked to cryptocurrency prices without owning the digital assets themselves.
Now, eligible clients can trade crypto-based derivatives on Kraken’s platform. To get started, interested clients can check their eligibility or apply directly through the Kraken Pro app. With this new broker service aimed at the Australian market, Kraken is preparing for regulatory compliance and readying for potential increases in institutional trading.
Kraken expands in Australia
Kraken’s latest product, offered through its licensed Australian broker, gives clients multiple crypto options with support for multiple types of collateral. This new suite of derivatives offers collateral options, letting clients use fiat, stablecoins, and various cryptocurrencies. Additionally, it comes with risk management tools and trading strategies to help secure assets and enhance trading flexibility.
Kraken is expanding into Australia’s wholesale derivatives market to align with local regulations. While this new service offers promising benefits, the exchange cautions investors that some crypto derivatives carry high risks, where losses can “substantially” exceed initial investments.
In the launch announcement, Kraken’s Australia General Manager, Jonathan Miller, highlighted that Australian wholesale clients seek a trusted, licensed broker to support their advanced trading strategies. He noted that Australia has been essential to Kraken’s global operations and reaffirmed the exchange’s dedication to regulatory compliance while tapping into the growing institutional demand for crypto assets.
Furthermore, Kraken is reportedly ready to launch its own “Ink” blockchain in early 2025. The blockchain aims to give users a simple way to trade, borrow, and lend tokens directly, cutting out intermediaries and making the decentralized finance (DeFi) process simpler and more accessible.
