Kraken has officially launched its proprietary trading program, allowing vetted crypto traders to access up to $200,000 in company capital while retaining up to 90% of profits. The service, called Kraken Prop, follows the exchange’s acquisition of Breakout, a crypto-native prop firm, marking the first time a major crypto exchange has entered the funded trading space directly. Traders must complete an evaluation in a simulated environment mirroring live market conditions before receiving funding. The program offers access to over 60 cryptocurrency pairs including Bitcoin and Ethereum, with leverage up to 5x. Funded traders keep 80% of profits by default, with an option to increase to 90%, and can withdraw earnings anytime with payouts processed within 24 hours. Downside risk is limited to a one-time evaluation fee. Co-CEO Arjun Sethi emphasized the program rewards skill over capital access, stating Kraken aims to build systems based on demonstrated performance rather than pedigree. No other major crypto exchange has yet followed Kraken into direct prop trading operations.
FXnCO Insight
Kraken’s move signals potential expansion of institutional-style funded trading models across crypto exchanges, creating new liquidity pathways and trader participation beyond traditional capital requirements.
Source: Finance Magnates