Kraken, the digital asset exchange, has taken over Breakout, a prop trading platform, for an undisclosed sum of money.
Kraken Acquires Prop Trading Service Breakout
In a significant move for the cryptocurrency industry, Kraken, a US-based cryptocurrency exchange, has completed the acquisition of prop trading service Breakout. The announcement was made in a Sept. 4 press release and blog post.
Breakout, rapidly developed in 2023 by TraderMayne and CryptoCred, has been designed to democratize trading access by enabling traders to access significant capital based on skill rather than personal funds. Since its launch, Breakout has issued over 20,000 funded accounts.
TraderMayne and CryptoCred, two prominent figures in the cryptocurrency industry, developed Breakout in a short period, even for the fast-paced industry. The development of Breakout started in a Telegram chat in 2023.
The acquisition of Breakout by Kraken is expected to bring several benefits to both parties. For qualified traders on the Kraken Pro platform, they can now post up to $200,000 in trades with zero risk. Gains for traders are capped at "up to 90%" of their total profits.
In addition to the acquisition, Kraken has also been expanding its operations. The company has recently moved its offices to Wyoming and formed tokenized stock trading partnerships. In August, Kraken entered into a collaboration with Backed Finance and TRON DAO to bring tokenized stock trading to the TRON network.
The US Justice Department ended its investigation into Kraken founder Jesse Powell in July, which could have paved the way for this acquisition. TraderMayne announced the acquisition of Breakout by Kraken in a YouTube video.
With the acquisition of Breakout, Kraken continues to solidify its position as a leading player in the cryptocurrency industry. The integration of Breakout's prop trading services into the Kraken Pro platform is expected to provide a new avenue for traders to participate in the cryptocurrency market.
In conclusion, the acquisition of Breakout by Kraken represents a significant step forward for both companies. It is expected to bring new opportunities for traders on the Kraken Pro platform and further strengthen Kraken's position in the cryptocurrency industry.
