U.S.-based cryptocurrency exchange Karken acquired U.K.-based crypto derivatives trading platform Crypto Facilities to expand operations in the European market by offering futures trading in cryptocurrencies such as Bitcoin.
It is claimed to be a "nine-figure" deal, Kraken's largest acquisition to date and one of the largest in the crypto industry. The products and services provided by Crypto Facilities will complement Kraken's core spot exchange and Over-The-Counter (OTC) service.
London-based Crypto Facilities is the first regulated entity in the U.K. to offer futures on Bitcoin, Ethereum, Ripple XRP, Litecoin and Bitcoin Cash.
The deal makes Kraken the first and only crypto exchange to offer both spot and futures trading to clients as well as the only crypto exchange to offer regulated futures trading in Europe.
Kraken noted that clients based in the U.S., as well as certain other areas, will not be currently eligible for futures trading in cryptocurrencies.
This deal enables Karken's clients to have access to futures on six cryptocurrency pairs.
Kraken offers trading in 20 digital assets and 70+ currency pairs, and offers charting, trading and portfolio tracking tools through Cryptowatch.
Following the closure of the deal, Crypto Facilities will remain based out of London to gain the benefit from the regulatory oversight of the FCA. It also reflects Kraken's recognition of the U.K. as the leading financial and cryptocurrency hub in Europe.
Kraken has earlier made smaller acquisitions including that of Bitcoin exchanges Coinsetter, Cavirtex and CleverCoin, wallet funding service Glidera, and the multi-exchange charting, trading and portfolio tracking platform Cryptowatch.
Kraken is backed by investors including Hummingbird Ventures, Blockchain Capital and Digital Currency Group, among others.
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