Crypto Exchange Kraken Sets To Purchase NinjaTrader In A $1.5 Billion Deal
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Major crypto exchange Kraken has concluded plans to acquire retail futures trading platform NinjaTrader. According to the announcement, the deal is worth $1.5 billion and is expected to be finalized this week.
NinjaTrader was launched in 2003 as a Futures Commission Merchant. The platform provides futures trading tools to traders and has grown immensely over the years. Information available on the company’s website shows that the platform has more than 1.8 million customers.
Kraken’s acquisition of the platform will enable the crypto exchange to expand its operations beyond cryptocurrencies. It will also enable the firm to add more users as it plans to onboard NinjaTrader’s 1.8 million users into its platform.
Kraken Sets Sights In The UK
While Kraken is seeking to expand its user base, the crypto exchange is also looking to expand its operations in Australia, the United Kingdom, and Europe.
With this expansion, it means NinjaTrader will also have a broader reach in these regions. But the platform will still be operating independently and will not be run as a brand under the Kraken umbrella. The crypto exchange will see NinjaTrader as a subsidiary where it will be operated independently.
Kraken was launched in 2011, which makes it one of the oldest cryptocurrency exchanges in the world. The platform recently launched a new division, Kraken Securities. The new division plans to offer exchange-traded funds (ETFs) and US-listed stocks initially in two countries: the UK and the US. Kraken has continued to show its commitment to expanding its operations across several regions as it hopes to increase the adoption of cryptocurrencies in the mainstream finance sector.
Kraken Obtains MiFD License After Acquiring A Cypriot-based Company
Recently, the exchange, which has its headquarters in San Francisco, received the Markets in Financial Instruments Directive (MiFID) license following the acquisition of a company in Cyprus. The firm was a subsidiary of the contracts for difference (CFDs) broker brand PU Prime. This enabled the company to derivatives across the European Economic Area.
Kraken also registered another win after the US Securities and Exchange Commission (SEC) dropped its lawsuit against the crypto exchange. The case was dropped after Gary Gensler stepped down as the commission’s Chairman following President Trump’s assumption of office.
The present Trump administration is showing its support to the cryptocurrency industry, as the acting SEC Chair, Mark Uyeda, seems to be more lenient towards the industry. The SEC has reportedly scaled down its enforcement against cryptocurrency companies.
