Nasdaq Invests $100M into Kraken Parent Company Payward

Nasdaq Ventures has officially invested $100 million into Payward, the parent company of the popular crypto exchange Kraken. This deal values the firm at $21 billion. The investment strengthens a growing partnership between the two companies as they work to build, trade, and distribute tokenized stocks using blockchain technology.

The collaboration centers on the xStocks product, which is designed to bring traditional equity trading onto public blockchains like Ethereum and Solana. By moving settlement to an onchain environment, the companies aim to eliminate the standard two day wait period for trade clearing, potentially freeing up billions in capital that is currently held as collateral.

As part of the deal, Kraken will implement Nasdaq market surveillance technology across its entire platform, including its crypto and futures offerings. While the firms eye a 2027 launch for their tokenized equity system, questions remain regarding how these tokens will handle shareholder rights compared to traditional stock ownership.

This move highlights a broader shift as crypto exchanges expand into traditional financial products. With high profile backing from both Nasdaq and Deutsche Börse, Kraken is positioning itself as a primary bridge between legacy capital markets and modern digital assets.