Catenaa, Monday, December 16, 2024 – US-based cryptocurrency exchange Kraken has launched a crypto derivatives suite tailored for Australian wholesale clients.
The product enables institutional investors to access cryptocurrency futures derivatives without holding the underlying assets, offering multi-collateral support for fiat, stablecoins, and cryptocurrencies.
Kraken’s new service comes after a Federal Court ruling in August against its Australian subsidiary, Bit Trade Pty Ltd, for non-compliance with local regulations.
In response, Kraken adjusted its offerings to meet the needs of institutional clients seeking advanced trading options.
“Our premium product meets trading needs and supports clients on their crypto journey,” said Jonathon Miller, Kraken’s General Manager for Australia.
Eligibility for the derivatives platform requires individuals to possess net assets exceeding AUD $2.5 million (USD $1.64 million) or a gross annual income above AUD $250,000 (USD $164,000) for two consecutive years.
Kraken has expressed concerns about regulatory ambiguity in Australia, stating that businesses and investors face a “confusing and uncertain regulatory environment.” The court ruling against Bit Trade highlighted the broader need for clear, bespoke cryptocurrency regulations.
Despite these challenges, Australia’s crypto adoption continues to grow, with a 17% ownership rate—above the global average of 15%. Kraken’s launch underscores its focus on delivering secure and regulated services for Australia’s institutional crypto market.
