Just In: Kraken Is Planning To Launch Its Own Bank

Crypto News: Troubled crypto exchange, Kraken is reportedly moving towards its idea of launching its own bank. This move by the exchange comes after being charged by U.S. Securities and Exchange Commission (SEC) for failing to register its crypto asset staking program.

When Will Kraken Launch Its Bank?

As per reports, Marco Santori, Chief Legal Officer of Kraken, in a podcast stated that the Kraken Bank is nearing its launch. He humorously added Kraken is going to order thousands of pens with little ball chains and fix them to the Wall Street banks with a logo.

However, the Kraken on its website has already mentioned that it was planning for its Bank phased launch in 2022. It added that the first services will be provided to the US Kraken clients and then to others. Meanwhile, it’s 2023, and the crypto exchange went on to do a settlement for $30 million with US SEC. Read More Crypto News Here…

US SEC in the release mentioned that the two Kraken entities agreed to cease offering or selling Securities via a digital asset staking program. It added that the exchange was offerings and selling its crypto assets staking services since 2019.

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Troubled Exchange Refuses US SEC’s Claims?

Kraken’s legal officer refused to comment on the Settlement with US SEC. He added that the staking had been a minor portion of Kraken’s revenue. Meanwhile, the exchange neither admits nor denies any of the claims raised in the complaint. He added that the legal action does not affect its product mix in the U.S.

The US SEC-Kraken settlement flags the first regulatory crackdown on staking which is termed as a common service provided by both centralized and decentralized exchanges.

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Ashish believes in Decentralisation and has a keen interest in evolving Blockchain technology, Cryptocurrency ecosystem, and NFTs. He aims to create awareness around the growing Crypto industry through his writings and analysis. When he is not writing, he is playing video games, watching some thriller movie, or is out for some outdoor sports. Reach me at [email protected]