Kraken, which is well renowned for offering its industry-leading services to its clients present in every part of the world, and whose business is thriving from the day of its inception, according to confirmed reports, has successfully transformed itself into a bank by becoming the first-ever crypto exchange of US who has become a bank.
The decision for amalgamation of the crypto exchange into a full-fledge bank was pending approval before the Wyoming Banking Board who on this Wednesday carried out the process of votes and having obtained obtaining majority of votes, Kraken’s application was duly approved as a result of which the crypto exchange, hailing from the US state of San Francisco, became the first special-purpose depository institution (SPDI) charter who will be conducting its operations in Wyoming from now on as a bank. This led the General Counsel, Mr. Chris Land, of the Wyoming Division of Banking making a statement that after the successful transformation of Kraken into SPDI in Wyoming, soon it will become the first-ever “de novo” bank in the US since 2006.
Mr. David Kinitsky, who is the MD of the crypto exchange and is also going to work with the newly formed “Kraken Financial” in the capacity of its Chief Executive Officer said that the successful amalgamation of Kraken exchange into Kraken Financial, they will now be an integral part of the federal payment infrastructure, and will be more beneficial to its present and future customers in providing them with integrated banking and financial options.
The application form Kraken to the Wyoming Banking Board was rather kept secret however the first hint emerged in the month of December when the crypto exchange firm published an advertisement for seeking a candidate to work with Kraken Financials as its Chief Executive Officer.
The amalgamation of Kraken has been widely appreciated by all concerned and the Chief Executive Officer of Kraken Financials while welcoming the decision also said that we are thankful for its customers whose confidence and long-standing relationship has led Kraken to become the first-ever crypto exchange becoming a bank. He further said that they are already working on various plans wherein a wide range of new benefitting products are under-development and will be made available to the customers once the plans are mutualized.
In the first phase of its operations, the famous crypto exchange firm turned into a bank namely Kraken Financials, it will carry out its functions and operations as third party banking services. But later on, Kraken will become a full-fledge banking institution providing its banking services to its customers where the services that were being offered by Kraken as a crypto exchange firm will continue to function at the back end.