Kraken parent Payward posts 33% revenue growth as acquisitions and traders lift volumes
Payward, the parent company of crypto exchange Kraken, reported 33% revenue growth for fiscal 2025, with adjusted revenue rising to $2.2 billion from $1.6 billion in 2024. Transaction volume increased roughly 34% to about $2.0 trillion and assets on the platform rose 11% to $48.2 billion; funded accounts grew 50% to 5.7 million. The company said its revenue mix is now approximately 47% trading-based and 53% asset-based (custody, yield, payments and financing), improving revenue stability versus pure trading exposure. Payward attributed growth to strategic acquisitions (including NinjaTrader, Breakout, Small Exchange, Capitalise.ai and Backed/xStocks) and product launches — NinjaTrader and Breakout integration and the launch of US-regulated crypto futures drove a 119% increase in daily average revenue trades and strong futures revenue. Adjusted EBITDA was $531 million (up 26%), and Q4 produced $625 million in adjusted revenue with $84 million in EBITDA despite softer industry conditions. The company said its infrastructure remained resilient during an October market drop and highlighted regulatory progress (EU MiCA and UK EMI licenses). Payward confidentially filed for an IPO in November and is planning a separate Nasdaq listing for another group company. Key takeaways for traders: diversified revenue mix should reduce platform exposure to spot volatility, increased derivatives and institutional activity may boost liquidity and intraday volatility in listed products, and regulatory approvals plus IPO plans raise institutional credibility but could shift focus toward compliance and traditional-asset product expansion.
Bullish
The news is broadly bullish for the exchange and its traded products. Higher revenue, rising transaction volumes and funded accounts, plus a shift toward asset-based revenue, point to stronger platform balance sheets and reduced dependence on spot volatility. The surge in futures revenue and a 119% rise in daily average revenue trades (after integrating NinjaTrader and launching US-regulated futures) suggest increased derivatives activity and deeper liquidity in futures markets — conditions that can support higher volumes and trading fees and may attract institutional flows. Regulatory approvals (EU MiCA, UK EMI) and an IPO filing increase institutional credibility, which typically supports sustained inflows. Short-term price impact on individual crypto assets mentioned in the reports is likely limited and mixed: increased futures activity can raise intraday volatility while improved liquidity can be supportive. Over the medium to long term, greater institutional participation and product diversification are more likely to be supportive of crypto market liquidity and demand, making the overall effect positive for exchange-traded products and spot markets tied to deeper liquidity.