After Securing EU E-Money License, Kraken Reportedly Plans To Offer US-Listed Stocks Trading

Kraken, the U.S.–based cryptocurrency exchange that recently secured an EU e-money license, is reportedly planning to offer trading of U.S. listed stocks.

The 12-year-old cryptocurrency business is planning to explore the world outside of crypto by offering exchange-traded funds and U.S.-listed stocks, Bloomberg said in a report Thursday, citing a person with knowledge of the matter.

But how will Kraken do this?

According to the report, the crypto exchange platform will initially launch this offering for the U.S. and the U.K. via its new division called Kraken Securities. It added that Kraken has already secured regulatory permits in the U.K. and applied for licenses in the U.S., particularly with the Financial Industry Regulatory Authority.

Kraken is reportedly planning to roll out the offering sometime in 2024.

The report came at the heels of the exchange's announcement of its receipt of authorization from the Central Bank of Ireland as an e-money institution (EMI).

This license allows Kraken, in partnership with European banks, to offer its EUR fiat services to 27 European Union (EU) member states and the European Economic Area (EEA) countries.

"Today's announcement marks another important milestone in our European expansion strategy," Curtis Ting, vice president of global operations at Kraken, said.

"We see a firm foundation for crypto in Europe, which has forward-looking regulation that enables us to grow with confidence. We are grateful for the constructive approach to regulating industry growth set by the Central Bank of Ireland and the Bank of Spain. In both Ireland and Spain, we are excited to become part of their vibrant local fintech sectors. We also look forward to continuing our investments in Europe more broadly," Ting added.

"Our market-leading position in liquidity and volume for EUR crypto pairs, round-the-clock live client service and robust security bring a compelling value proposition for future clients in Europe. We're committed to the ongoing investment in our European business as we continue our efforts to advance the adoption of crypto within Europe in the years ahead," the executive said further.

Apart from the EMI license, Kraken has also successfully registered with the Bank of Spain as a Virtual Asset Service Provider (VASP), underlining the exchange's continued pursuit to expand its European business.

This particular license enables Kraken to offer cryptocurrency exchange and custodial wallet services to Spanish customers in Spain.