Nasdaq Invests $100 Million in Kraken Parent at $21 Billion Valuation
Nasdaq is investing $100 million in Payward, the parent company of cryptocurrency exchange Kraken, in a transaction that values the company at $21 billion, Bloomberg reported Thursday, citing people familiar with the matter.
The investment is being made through Nasdaq’s venture arm and expands a partnership between the two companies established in March. The deal also deepens the connection between traditional financial markets and the growing market for tokenized equities.
Under the partnership, Kraken will distribute Nasdaq’s tokenized stocks on its platform, allowing customers to access Nasdaq-listed equities in tokenized form. The products are designed to retain the same voting rights associated with shares traded on the exchange.
Nasdaq Expands Tokenized Stocks Partnership With Kraken
The investment gives Nasdaq a direct financial interest in Payward as the exchange operator develops infrastructure connecting traditional securities markets with blockchain-based trading venues.
Many tokenized equity products primarily provide investors with price exposure to underlying stocks. Nasdaq’s approach places greater emphasis on the role of issuers and the movement of tokenized equities between regulated financial markets and on-chain platforms.
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Nasdaq has been working with Kraken to build a gateway capable of moving tokenized equities between regulated and blockchain-based venues. Kraken already offers tokenized equities through Payward Services, its business-to-business division.
The latest investment therefore extends a relationship that involves both financial participation and the development of infrastructure for tokenized securities.
Traditional Exchanges Increase Crypto Exposure
Nasdaq is the latest major traditional financial-market operator to invest in a cryptocurrency exchange this year.
Intercontinental Exchange, the parent company of the New York Stock Exchange, invested in OKX in March at a $25 billion valuation. The transaction included a board seat for Intercontinental Exchange and an agreement to make NYSE tokenized equities markets available to OKX’s 120 million accounts.
Deutsche Börse followed with a $200 million investment for a 1.5% stake in Payward in April.
Nasdaq also plans to introduce its own token in the second quarter of next year, according to people cited by Bloomberg.
The series of transactions reflects increasing involvement by established financial-market operators in digital assets and tokenized securities, while crypto exchanges are expanding their access to traditional financial products.
Payward Valuation Has Varied Across Transactions
Payward’s valuation has differed significantly across recent financing and strategic transactions.
The company raised $800 million at a $20 billion valuation in November. That $20 billion figure was subsequently used again in April when Payward agreed to acquire derivatives exchange Bitnomial.
However, Deutsche Börse’s April investment implied a valuation of approximately $13.3 billion, based on Bloomberg’s calculation.
Payward has also taken steps toward accessing public markets, although its planned listing has progressed more slowly than initially expected.
The company confidentially filed an S-1 registration statement in November but shelved the planned listing in March.
That same month, Kraken became the first cryptocurrency company granted access to the Federal Reserve’s core payments system, marking another development in the exchange’s efforts to connect its operations with the traditional financial infrastructure.
Source: decrypt.co
Writer: Marcus RenfieldCrypto Market Analyst & Onchain WriterMarcus Renfield covers cryptocurrency markets with a focus on onchain data, Bitcoin price action, and emerging market narratives. His writing examines how capital flows, network activity, and broader market structure influence short- and medium-term trends.He aims to provide clear, data-informed analysis for readers seeking a deeper understanding of crypto market dynamics.