Kraken Expands in Australia with Licensed Crypto Brokerage for Institutional Clients

Kraken, a leading cryptocurrency exchange, has launched a licensed brokerage service in Australia aimed at institutional and wholesale clients. This move marks Kraken’s entry into the Australian derivatives market, offering large-scale investors access to crypto-based financial products that track cryptocurrency prices without requiring direct ownership of the assets. This initiative signals Kraken’s commitment to providing compliant, regulated solutions in one of its significant international markets.

Crypto-Based Derivatives for Australian Clients

Available since November 3, Kraken’s new service allows Australian clients to trade crypto derivatives through its platform. By using Kraken’s financial services-licensed broker, investors can access multiple cryptocurrency options with versatile collateral support. This feature accommodates fiat currencies, stablecoins, and various cryptocurrencies, offering flexibility for clients’ trading needs. Kraken also includes risk management tools to support advanced trading strategies designed to enhance the security of digital assets.

For those interested in the service, eligibility verification and applications are handled through the Kraken Pro app, making access straightforward for qualified investors. However, Kraken has issued a reminder about the risks inherent in certain crypto-based derivatives, cautioning that potential losses can exceed initial investments.

This latest move aligns with Kraken’s efforts to comply with local regulatory standards, positioning the exchange to handle an anticipated increase in institutional liquidity. Kraken’s General Manager for Australia, Jonathan Miller, emphasized the importance of compliance in Kraken’s operations, stating, “Australia has been a cornerstone of our global strategy.” He noted that the new service meets a clear demand among Australian wholesale clients “to execute advanced trading strategies using a licensed broker.”

Kraken’s launch of this licensed brokerage service not only enhances its offerings but also strengthens its regulatory standing. The initiative reflects Kraken’s focus on meeting institutional demand within Australia’s growing crypto market, demonstrating a proactive approach to align with regional compliance standards while providing innovative options for its clients.