Frequently asked questions
SAFE & SOUND
Security has always been Kraken's top priority. Kraken Bank is built on a foundation of best-in-class digital security practices. We’re willing to bet we’re more secure than your current bank.
DESIGNED FOR CRYPTO
The Wyoming SPDI framework allows Kraken Bank to prioritize asset custody and safekeeping, data protection, security standards, and stringent regulatory oversight. SPDI banks are required to maintain full reserves, which means your money won’t be lent out without your permission.
A BETTER BRIDGE
Kraken’s mission is to promote the adoption of digital assets for financial freedom. Kraken Bank will further that mission by providing a more seamless integration between crypto and the traditional financial system. This means a better client experience.
Kraken Blog & Press
What is Blockchain Technology?
David Kinitsky (CEO, Kraken Financial) and Marco Santori (Kraken CLO) discuss Kraken's obtaining of the SPDI...
Kraken Will Be the First US Crypto Bank
The line between crypto exchange and bank just got even blurrier. Today, the state of Wyoming awarded crypto exchange...
Wait, Kraken is becoming a bitcoin bank?
Kraken has always been on the frontier of finance. Now we’re blazing a new trail by opening a Wyoming-based crypto bank.
We were calling it Kraken Financial, but due to overwhelming demand, it will be known as Kraken Bank. We’re the first (ever) crypto company to be awarded a U.S. state banking charter. It’s known as a Special Purpose Depository Institution or SPDI.
What is an SPDI?
It’s a bank focused on clients’ interest in a forward-facing regulatory framework with oversight from the Wyoming Division of Banking.
Can I open a bank account with Kraken? When will it launch?
We are planning a phased launch in 2021, we’ll roll out to existing U.S. Kraken clients first and will provide more information as it becomes available.
In the meantime, you can visit www.kraken.com/sign-up to create your Kraken trading account if you don’t have one.
What products will the crypto bank offer?
Our bank charter allows us to launch digital-first traditional and crypto banking products, with cryptocurrencies represented as a first-class citizen. We're looking into products like deposit accounts in USD and crypto assets (ex. Bitcoin), multiple funding and payments options, institutional custody products (qualified custody for advisors and broker dealers), IRAs and many more.
Where will this be available and could I visit a branch?
We will initially focus in the U.S. roll out services to existing clients in the U.S., with potential international expansion in the future.
Our plan is to serve our existing clients’ needs online and via mobile devices - we don’t anticipate servicing any in-person, customer-serving activities in our Cheyenne office. Customer support and service will be available 24/7/365.
Will my investments be FDIC insured?
No. However, Kraken Bank will be fully reserved (i.e., no fractional reserve banking or associated re-hypothecation and lending activities). All assets will be kept on hand and available as cash or the least risky, most liquid cash equivalents. We will also maintain significant capital reserves and surpluses of our own capital to cover the full balance of all clients, even in the event of a “bank run.”
We will operate in a safe and sound manner that prioritizes customer fund protection. Therefore, we will not have insolvency risk the FDIC is intended to safeguard. We will never need a bailout or any public-funded backstop, because our goal is to serve your needs and the needs of the community.
Kraken Bank will be an independent affiliate of the Kraken family of companies. It is not currently operational.
No current operating Kraken entity is a bank or depository institution. DIGITAL ASSETS AND NATIONAL CURRENCIES CURRENTLY HELD IN YOUR KRAKEN ACCOUNT ARE NOT COVERED BY INSURANCE AGAINST LOSSES OR SUBJECT TO FEDERAL DEPOSIT INSURANCE CORPORATION PROTECTIONS OR THE PROTECTIONS OF ANY COMPARABLE ORGANIZATION ANYWHERE IN THE WORLD. Moreover, deposits at Kraken Bank (when operational) will not be insured by the Federal Deposit Insurance Corporation.
This page is for informational purposes only. Forward-looking statements, including product offerings, regulatory plans and business plans are subject to change without notice.