Leading crypto exchange, Kraken, has agreed to acquire Backed Finance AG, the Switzerland-based company behind xStocks, a leading platform for tokenized equities. The acquisition, announced December 2, 2025, consolidates Kraken's position in the rapidly expanding real-world asset (RWA) tokenization market and brings the full suite of xStocks’ infrastructure in-house.

Financial terms of the Backed acquisition were not disclosed.

A Unified Platform for Tokenized Equities

The acquisition will unify issuance, trading and settlement of xStocks under one framework, accelerating the global adoption of tokenized equities. xStocks represents publicly listed stocks and exchange-traded funds (ETFs) as blockchain-based tokens, with each token backed 1:1 by the underlying asset itself.

Since its debut earlier in 2025, xStocks has surpassed $10 billion in combined exchange and onchain trading volume within six months. The platform currently offers exposure to more than 60 tokenized equities and ETFs, live on Solana and Ethereum, with integrations on TON, Tron, Mantle and BNB Chain coming soon.

"Integrating Backed into Kraken strengthens the core architecture required for open and programmable capital markets," said Arjun Sethi, Kraken Co-CEO. "This is bigger than giving people exposure to U.S. equities, it's about redefining what it means to own assets in the digital era."

Expansion Into Mainstream Finance

Backed's team and infrastructure will become part of Kraken, strengthening issuance and compliance capabilities while expanding the reach and utility of tokenized assets beyond the crypto ecosystem. The exchange plans to integrate xStocks more deeply into its broader product suite, including Krak, its global money app, allowing customers to hold and spend in tokenized equities.

Investors can trade xStocks 24/7, on Kraken or directly onchain, creating a seamless, continuous bridge between traditional and crypto markets. The tokens can be self-custodied and were designed for multi-chain composability, maintaining open infrastructure across the broader ecosystem.

Adam Levi, Backed Co-Founder, noted that the company was founded in 2021 and built a compliant and scalable solution that seamlessly bridges crypto and traditional finance: 

"With Kraken's scale elevating that vision, we can accelerate the expansion of infrastructure designed to democratize financial access across the world," Levi said.

Growing Institutional Interest

Kraken recently closed a fresh funding round that valued the company at around $20 billion, and is preparing to go public in 2026. In an interview with Bloomberg News, Co-CEO Sethi said the acquisition allows the company to integrate stocks and exchange-traded funds more deeply into its platform, with the executive emphasizing that: 

"while everyone is talking about tokenized equities, we are just doing it."

The tokenized assets market is projected to grow to $18 trillion by 2033, according to a report from Ripple and BCG.

Kraken's Aggressive Buying Habits

The Backed acquisition represents Kraken's fourth major purchase in 2025, revealing an aggressive expansion strategy as the exchange prepares for its anticipated 2026 IPO.

In March, Kraken completed its $1.5 billion acquisition of NinjaTrader, the leading U.S. retail futures trading platform. The deal gave Kraken access to U.S. futures markets through NinjaTrader's CFTC-registered Futures Commission Merchant license.

In September, Kraken acquired Breakout, a proprietary trading platform that provides skilled traders with access to up to $200,000 in trading capital.

In October, Kraken acquired Small Exchange, a CFTC-licensed Designated Contract Market, from IG Group for $100 million. The acquisition provided Kraken with regulatory authorization to design and operate U.S.-listed derivatives markets under direct CFTC oversight.

Kraken’s Strategy: Why All The Acquisitions?

The acquisition pattern reveals a clear strategy: Kraken is systematically building a vertically integrated platform spanning traditional and crypto markets. 

Each deal adds specific infrastructure (e.g. futures trading, proprietary trading, derivatives licensing, and tokenized equities) positioning Kraken to compete directly with traditional financial institutions. 

The company's integrated architecture covers exchange matching, custody, clearing, settlement, market data and wallet services, enabling what Sethi describes as: 

"an institutional-grade trading platform where any asset can be traded, anytime."

Sources

• Kraken: Kraken to acquire Backed, accelerating xStocks expansion and unlocking global demand for tokenized equities
• Bloomberg: Crypto Firm Kraken Acquires Backed Finance in Tokenization Push
• Business Wire: Kraken to Acquire Backed, Accelerating xStocks Expansion and Unlocking Global Demand for Tokenized Equities
• Blockhead: Kraken Acquires Backed Finance to Accelerate Tokenized Stock Expansion
• Reuters: Crypto exchange Kraken valued at $20 billion in latest funding round
• PYMNTS: Kraken Makes Bigger Bet on Tokenization With Backed Acquisition
• CoinDesk: Ripple, BCG Project $18.9T Tokenized Asset Market by 2033
• NinjaTrader: Kraken to Acquire NinjaTrader: Introducing the Next Era of Professional Trading
• Kraken: Kraken to acquire NinjaTrader: Introducing the next era of professional trading
• Business Wire: Kraken to Acquire NinjaTrader: Introducing the Next Era of Professional Trading
• Business Wire: Kraken Completes Major Acquisition of Breakout to Offer Prop Trading to Clients Globally
• Kraken: Kraken acquires a CFTC-regulated Designated Contract Market, expanding derivatives footprint in the U.S. market

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