The custody product, delivered through Kraken Financial will now be available directly to institutional investors in both countries. Kraken Financial has been operating as a qualified custodian in selected US states since March and will apply the same model overseas. Assets will remain segregated from the wider Kraken platform and can be withdrawn at any time.
With this move, eligible firms in the UK and Australia can now use Kraken Custody to store, manage and transfer supported digital assets. According to representatives from Kraken, the decision to expand into these two jurisdictions was influenced by their existing institutional crypto markets and the company’s established operational presence in both regions.
Kraken officials noted that providing a custody solution in these jurisdictions aims to support increased institutional participation in the crypto sector. The custody service integrates with Kraken’s general platform, but the infrastructure keeps client assets in separate accounts, designed to maintain operational flexibility without compromising security.
Representatives from Kraken Financial said the firm’s regulatory framework in the US, being subject to state-level banking standards, ensures rigorous oversight, which will apply equally to clients in the UK and Australia. They also indicated that the offering addresses growing demand among institutions for custody solutions that meet both security and compliance requirements.
At the time of writing, Kraken Custody supports Bitcoin, Ethereum, and USD Coin on the Ethereum network, with additional assets expected to be included later in the year.
In a separate development, Kraken has recently selected ClearBank to serve as its main banking partner in the United Kingdom. This development followed the recent approval of an Electronic Money Institution (EMI) licence for Kraken’s UK entity, Payward Services Ltd, and is expected to support the platform’s expansion of regulated services in the region.
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