Payward, the financial infrastructure company behind crypto exchange Kraken, is expanding its pre-float acquisition spree with the purchase of Magna, a platform that helps cryptocurrency projects manage the distribution of tokens to investors.
The deal, announced on Wednesday, having closed the previous Friday, is the sixth acquisition Payward has made in roughly a year as it prepares for an initial public offering in the United States.
Magna, a graduate of Y Combinator's 2022 winter cohort, was last valued at $70 million in its most recent funding round, according to PitchBook data.
Financial terms of the latest transaction were not disclosed.
Magna will continue to operate as a standalone platform under the Kraken brand, providing tooling for token vesting, white-label claims, custody and escrow workflows, and staking.
The company helps crypto startups manage the distribution of their cryptocurrencies, tracking who owns what as the list of token recipients grows more complex, especially once tokens begin trading publicly.
Magna said it has grown into the largest token vesting platform, serving more than 160 clients, with a peak total value locked (TVL), a measure of capital held in smart contracts, of $60 billion in 2025.
Arjun Sethi, co-chief executive of Payward and Kraken, said the deal would allow the exchange to engage with crypto projects earlier in their lifecycle.
"If we do not build reliable lifecycle infrastructure, markets consolidate around whoever controls distribution and access," Sethi said.
Payward's acquisition run began in mid-2025 with its $1.5 billion purchase of NinjaTrader, a US futures platform, marking its entry into retail futures and traditional trading.
Other deals have included proprietary trading platform Breakout, tokenised equities provider Backed, and derivatives infrastructure firm Small Exchange.
Related reading
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- Kraken 360 publishes first instalment of token launch guidance for crypto protocol teams
- Kraken launches automatic USDC rewards with higher rates for paying subscribers
Kraken raised $800 million last year at a $20 billion valuation.
Kraken's push into public markets follows Circle's successful IPO and Coinbase's expansion into prediction markets, reflecting growing investor appetite for crypto firms seeking stock exchange listings.
The recap
- Payward acquires Magna; Magna remains standalone, powered by Kraken
- Magna served over 160 clients with peak TVL of $60 billion
- Teams will focus on onboarding, security hardening, integrations
