Kraken is getting to position itself because the premier cryptocurrency service within the region, identifying Australia as a key growth area for retail and institutional clients. The financial terms of the deal weren't disclosed.
Its acquisition of Bit Trade, a platform that mixes liquidity from several exchanges into one interface, signifies a serious step into the APAC region by offering local customers access to Kraken’s high trading volumes.
"Australians will have access to the deep liquidity on Kraken in Australian dollar (AUD) whilst taking advantage of the fast settlement times via local Australian banking and with the safety of an area Australian compliance framework," Bit Trade CEO Jonathon Miller told CoinDesk in an email.
The entire Bit Trade team will join Kraken as a part of the acquisition with Miller becoming "Managing Director of Kraken in Australia."
Founded in 2013, Bit Trade quickly built a robust reputation for offering intuitive and complicated products without compromising security or regulatory compliance.
The announcement also marks Kraken’s tenth public acquisition, following its most up-to-date take over of Circle trade December 2019.
Ryan Watkins, a search analyst at Messari, said during a recent crypto research report that he expects the industry’s top cryptocurrency exchanges by trade volume to partake in nearly $1 billion of acquisitions over subsequent 24 months.
“Liquidity begets liquidity," Watkins wrote. "We’d expect the exchange industry to still consolidate as local exchanges get scooped up into larger platforms."