Kraken Custody, a custody service, makes its debut on Kraken’s institutional platform

Crypto News– On Wednesday, Kraken announced the launch of custody services for Kraken Institutional, a platform designed specifically for institutional investors.

Kraken Custody, a custody service, makes its debut on Kraken’s institutional platform

The newly introduced custodial service, named Kraken Custody, will offer digital asset custody solutions and establish deposit accounts for institutions, as per an official statement. Kraken Custody will enable institutions to store, manage, and transfer their funds within a unified interface, safeguarded by Kraken’s proprietary security protocols.

“The timing of Kraken Custody’s launch aligns well with the debut of the Bitcoin ETF, marking significant milestones in the US capital markets,” stated a Kraken spokesperson to The Block. “We anticipate increasing demand for qualified custody solutions as the crypto product landscape continues to expand.”

The institutional arm of Kraken launches a custody service under the name Kraken Custody

Kraken’s state-chartered banking entity, Kraken Financial, headquartered in Wyoming, oversees the institutional custody service. Trevor Rutar, CEO of Kraken Financial, emphasized the advantages of Wyoming’s clear regulatory framework in meeting institutional requirements: “The state of Wyoming’s clear regulatory structure means Kraken Financial can offer qualified custody that fully meets institutions’ requirements. Under the supervision of the Wyoming Division of Banking, Kraken Financial will be subject to some of the most rigorous security and operational checks of any crypto custodian.”

Kraken initiated institutional services on February 27 this year, shortly after BlackRock, Franklin Templeton, and Grayscale Investments selected Coinbase as their spot bitcoin ETF custodian.