Deutsche Börse Group, the operator of the Frankfurt Stock Exchange, has acquired a 1.5% stake in Payward Inc., the parent company of cryptocurrency exchange Kraken, for $200 million. The secondary market transaction values Kraken at approximately $13.3 billion, a notable decline from its $20 billion valuation in November 2025 when it raised $800 million and filed for a U.S. initial public offering (IPO).
The investment deepens a strategic partnership first announced in December 2025, which was designed to bridge traditional and digital asset markets for institutional clients in Europe. The expanded collaboration now aims to cover regulated crypto services, tokenized markets, derivatives, and liquidity services across different regions.
"The deal is expected to close in the second quarter of 2026, pending regulatory approval," according to the announcement. This move is part of Deutsche Börse's broader push into digital assets, having launched an institutional crypto trading platform in 2024 and introduced custody and settlement services through its Clearstream subsidiary in March 2025.
Concurrently, Kraken has paused its IPO plans due to unfavorable market conditions, though a public listing remains a future consideration. In a significant regulatory development, Kraken became the first digital asset bank to receive a master account at the U.S. Federal Reserve in March 2026, a move that has drawn both attention and scrutiny regarding financial stability risks.
This investment reflects a wider trend of traditional financial infrastructure giants entering the crypto space. In March 2026, the parent company of the New York Stock Exchange invested in crypto exchange OKX, and Nasdaq announced a collaboration with Kraken's parent, signaling a concerted push towards institutional crypto services.
