Kraken to acquire NinjaTrader for $1.5B, expanding into US futures
Kraken looks set to acquire NinjaTrader for $1.5 billion, a retail futures trading platform based in the US, subject to buying price adjustments.
The deal positions Kraken to expand its presence in US futures markets and would mean the company can offer multi-asset trading, including equities and payments.
NinjaTrader was founded in 2003, provides futures trading tools to nearly two million traders, and is a CFTC-registered Futures Commission Merchant. The acquisition is one of the largest deals connecting traditional finance and the cryptocurrency market.
Strategic impact of the acquisition
The acquisition strengthens Kraken as a trading platform and expands its regulatory reach. With NinjaTrader’s FCM licence, Kraken will be able to provide cryptocurrency futures and derivatives in the US.
Kraken’s existing regulatory licences in the UK, EU, and Australia will also allow the expansion of NinjaTrader into those regions. The integration will let clients of both platforms trade futures, cryptocurrency, and traditional financial products from a single platform.
Arjun Sethi, Kraken’s co-CEO, speaking of the gap between traditional finance and cryptocurrency markets, said, “Traditional markets rely on infrastructure from the 1950s, with limited trading hours and settlement delays. Cryptocurrency operates on real-time infrastructure, but the two ecosystems have remained separate – until now. The deal is a step toward creating a unified institutional-grade trading platform where any asset can be traded at any time.”
Key benefits and market reach
The acquisition is expected to provide several advantages to the companies:
- US futures market access – NinjaTrader’s FCM licence will allow Kraken to offer cryptocurrency futures and derivatives in the US.
- Global expansion – Kraken’s existing UK MiFID, EU MiFID, and Australian securities licences will help NinjaTrader enter new international markets.
- Multi-asset trading – Clients of both platforms will be able to trade cryptocurrencies, futures, and traditional financial products.
- Advanced trading tools – Kraken users will get access to NinjaTrader’s analytics and execution tools, while NinjaTrader’s clients will receive the benefits of Kraken’s cryptocurrency liquidity and infrastructure.
Kraken has a history of acquisition. Previous deals include Cryptowatch (real-time analytics), Cryptocurrency Facilities (regulated derivatives), CF Benchmarks (index provision), and Staked (staking infrastructure).
NinjaTrader will continue to operate as a standalone platform under Kraken’s trading and payments suite.
Regulatory background and market positioning
The deal comes as Kraken expands its presence in the US market following a recent regulatory win. The US Securities and Exchange Commission (SEC) filed a lawsuit in November 2023, claiming Kraken commingled customer and company funds, and operated as an unregistered securities broker. The lawsuit was dropped earlier this month.
Kraken also resumed staking services for US customers in January, indicating a bigger push into the US market as regulations dissolve under the Trump administration. Acquiring a CFTC-licensed platform, like NinjaTrader, could give Kraken a stronger footing in the regulatory landscape.
The deal is expected to close in the first half of 2025, subject to regulatory approvals and standard closing conditions.
(Photo by Unsplash)
See also: 5 blockchain startups worth keeping an eye on
Want to learn more about blockchain from industry leaders? Check out Blockchain Expo taking place in Amsterdam, California and London.
Explore other upcoming enterprise technology events and webinars powered by TechForge here.
