Kraken, the San-Francisco-based cryptocurrency exchange, announced the acquisition of Crypto Facilities, a regulated crypto derivatives trading platform and index provider. The move will allow clients to trade derivatives and spot crypto side by side. According to Kraken's press release, the nine-figure deal is Kraken's largest acquisition to date. Kraken has previously acquired crypto exchanges including Coinsetter, Cavirtex, and CleverCoin. Crypto Facilities was one of the first regulated trading platforms to offer futures trading for bitcoin, ethereum, XRP, litecoin, and bitcoin cash. The firm also provides pricing data to the CME Group, which powers the CME Group's bitcoin futures product.
“I’m thrilled to welcome the Crypto Facilities team into the Kraken family,” said Kraken CEO Jesse Powell. “We are excited to introduce eligible clients to these industry leading futures and index products. Over the coming months, our teams will continue to enhance and expand these offerings. We’ve got great stuff in store for traders and institutional clients in 2019.”
In an interview with Fortune, Jesse Powell, founder and CEO of Kraken, also notes that the exchange is "on the cusp of completing a $100 million funding round financed by its larger customers." In December, CoinDesk reported that the exchange was seeking to raise funds from its "valued clients" at a $4B valuation. Additionally, Crypto Facilities CEO and founder Timo Schalaefer will join Kraken as COO.