Thomas Daniels
Kraken, a leading global cryptocurrency exchange, has officially expanded its offshore operations by launching a new derivatives trading platform in Bermuda. The venue, licensed by the Bermuda Monetary Authority (BMA), allows Kraken to offer a diverse range of crypto derivatives, including perpetual and fixed-maturity futures, utilizing fiat currencies and over 30 cryptocurrencies as collateral.
This strategic move follows increased regulatory pressure from the U.S. Securities and Exchange Commission (SEC), prompting Kraken and other major crypto firms to explore offshore opportunities. Bermuda has emerged as an appealing jurisdiction for such companies due to its clear regulatory framework for digital assets.
The newly licensed platform offers round-the-clock trading, designed to cater to the 24/7 nature of the crypto market. Kraken’s offering aims to attract global clients seeking a regulated environment with comprehensive derivative products. Derivatives, which are financial instruments used for speculation or hedging against future asset values, now represent the bulk of global crypto trading volumes, making them a vital tool for managing market risk and capitalizing on opportunities.
Kraken joins a growing list of crypto exchanges, including Coinbase and HashKey Global, that have obtained licenses from the BMA, solidifying Bermuda’s status as a preferred hub for crypto businesses.
