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    Home » Kraken acquires Backed Finance to accelerate xStocks tokenization strategy

    Kraken acquires Backed Finance to accelerate xStocks tokenization strategy

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    By chloe on December 2, 2025 Companies
    Photorealistic Kraken-inspired figure exchanges a glowing token with a Swiss bank vault amid a blockchain network backdrop
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    Kraken has acquired Backed Finance, advancing its tokenization strategy and integrating a Swiss real‑world asset platform into its xStocks offering around diciembre de 2025. The move aims to scale 1:1 tokenized stocks and ETFs, expand multi‑chain distribution and anchor custody with regulated Swiss custodians. This step reshapes Kraken’s product mix and market positioning.

    The acquisition brings Backed Finance’s engineering and issuance capabilities into Kraken’s xStocks product, formalizing 1:1 asset‑backed tokens minted as ERC‑20 or SPL standards that represent conventional equities and ETFs. Backed Finance had already structured custody relationships with licensed Swiss third‑party custodians such as InCore Bank, Maerki Baumann and Alpaca Securities; those relationships are now part of Kraken’s tokenization stack. Kraken expects the integration to reinforce xStocks as an on‑chain venue offered alongside its existing institutional services.

    The consolidation also aligns with Kraken’s distribution partnerships. xStocks is already available across multiple blockchains — Solana, Ethereum, Tron and BNB Chain — and has been listed via partners including Bybit, Trust Wallet and an integration into Telegram Wallet. The product includes commission‑free trading incentives aimed at retail adoption and fractional ownership features that extend access beyond traditional market hours and custody models.

    Kraken acquires Backed Finance: deal and integration

    xStocks launched in June–July de 2025 and reached rapid uptake: within four months it reported about $10 billion in total transaction volume, including nearly $2 billion in on‑chain transactions and more than 45,000 on‑chain holders. Those metrics signal material demand for tokenized equities and suggest increased on‑chain liquidity and composability with decentralized finance protocols. Kraken’s prior strategic moves and fundraising — referenced in market commentary — indicate a broader push to combine tokenized retail flows with institutional services, intensifying competition in the tokenized stock sector.

    The acquisition may pressure rivals that focus on compliant tokenized securities; market observers have compared participants such as Ondo Finance and other incumbents as the sector scales. Kraken’s purchase of Backed Finance complements earlier strategic activity and is presented internally as part of a platform and distribution play rather than a standalone product launch.

    Backed Finance operates within Swiss custody frameworks and its tokens are presented as fully backed by underlying equities held in regulated custody. Real‑world asset (RWA) refers to a digital token that represents a physical or conventional financial asset on a blockchain; here, that means tokenized shares and ETFs tied to custodial holdings. Kraken’s stated approach emphasizes operating within applicable European and Swiss regulatory structures and leveraging licensed custodians to mitigate custody and counterparty risk.

    Regulatory clarity remains a practical requirement for scaling tokenized securities across jurisdictions; Kraken’s integration of a Swiss issuer and custodians is a deliberate compliance choice intended to address licensing and custody questions that have limited previous tokenization efforts.

    ethereum Featured Kraken xStocks
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    chloe

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