- Deal includes $32.5 million cash and $67.5 million in Payward stock.
- Acquisition grants Kraken CFTC-licensed access to US derivatives market.
- Kraken strengthens position ahead of planned IPO in early 2026.
Kraken has acquired the US-licensed Small Exchange from IG Group in a $100 million deal, as the crypto exchange strengthens its push into regulated derivatives trading.
The acquisition, which includes $32.5 million in cash and $67.5 million in Payward stock — Kraken’s parent company — gives the exchange the ability to offer perpetual futures and round-the-clock trading directly to US customers under regulatory oversight.
Kraken gains CFTC-licensed access to US derivatives market
The Small Exchange is registered with the Commodity Futures Trading Commission (CFTC) as a Designated Contract Market (DCM).
This means Kraken can now operate within the US regulatory framework and offer futures trading without routing activity through third-party venues.
The move will allow the exchange to integrate clearing, risk, and matching services into a single environment that adheres to the same standards as major global exchanges.
This acquisition represents a major step for Kraken’s expansion strategy.
The company already holds similar regulatory permissions in the UK and the EU and recently purchased the retail futures trading platform NinjaTrader for $1.5 billion.
That deal enabled the firm to provide CME-listed futures across crypto, equities, and commodities, expanding its global derivatives footprint.
IG Group secures profit and ongoing partnership
For IG Group, the sale of Small Exchange marks a strategic exit from its US derivatives operations.
The $100 million deal is expected to generate a post-tax gain of £73.3 million and increase IG’s regulatory capital by £22.7 million.
Despite divesting its ownership, IG will continue to collaborate with Kraken through a partnership agreement that ensures access to product distribution opportunities linked to the exchange’s derivatives offerings.
This decision aligns with IG’s broader goal of focusing on growth in other regions.
The company recently strengthened its crypto operations by acquiring Independent Reserve, an Australian cryptocurrency exchange, and securing a cryptoasset licence from the UK Financial Conduct Authority.
Move comes ahead of planned IPO
Kraken’s acquisition comes at a time when the exchange is preparing for an initial public offering, expected as early as the first quarter of next year.
The move to own a US-licensed futures exchange could help position the company more favourably with investors and regulators ahead of its listing.
The US regulatory environment for crypto firms has also become more flexible under President Donald Trump’s administration.
Several enforcement cases, including some involving Kraken, have been dropped or paused while new rules governing the digital asset sector are being developed.
