Kraken Acquires Breakout to Launch Leveraged Bitcoin Trading with Funded Accounts
Kraken has acquired Breakout, a trading platform specializing in funded accounts and leveraged products, to expand its Bitcoin margin offering. The deal integrates Breakout’s evaluation program—where traders earn capital for leveraged trading—directly into Kraken’s ecosystem. Users will now access funded accounts, enabling them to trade Bitcoin with higher buying power without larger upfront deposits. The move strengthens Kraken’s derivatives portfolio and positions it closer to competitors like Binance and Bybit. By enhancing liquidity and attracting professional and retail traders, Kraken aims to boost trading volume and market share in the Bitcoin leverage market while maintaining compliance and risk controls.
Bullish
Expanding leveraged Bitcoin trading through funded accounts is likely to attract increased volume and liquidity. Kraken’s integration of Breakout’s funded-account model lowers entry barriers for sophisticated traders, strengthening its derivatives suite. Historical precedents—such as exchanges launching margin and options products—have driven higher user engagement and positive price movements. By enhancing its competitive stance against Binance and Bybit, Kraken may see short-term trading spikes, while longer-term adoption of funded accounts supports sustained market growth and deeper liquidity, signaling a bullish outlook for Bitcoin’s trading ecosystem.