One of the oldest, most liquid, and safest cryptocurrency platforms in the world, Kraken, said today that it has paid $100 million to IG Group to buy Small Exchange, a CFTC-licensed Designated Contract Market (DCM).
This action creates a deep, advanced onshore venue in the biggest capital market in the world and sets the stage for Kraken to introduce a derivatives product suite that is entirely U.S. native.
A high-performance trading experience
Kraken’s goal of creating a centralised, high-performance trading environment is furthered by the purchase of Small Exchange. Under the direction of the Commodity Futures Trading Commission (CFTC), a DCM gives Kraken permission to develop and design exchange-listed derivatives markets in the United States.
Arjun Sethi, co-CEO of Kraken, said, “Kraken’s acquisition of a CFTC-regulated Designated Contract Market creates the foundation for a new generation of United States derivatives markets. It is designed for scale, transparency, and efficiency.”
He further added, “This step connects spot, futures, and margin products inside a single regulated liquidity system, reducing fragmentation, lowering funding latency, and bringing onshore the kind of access and performance that has mostly existed offshore. Under CFTC oversight, Kraken can now integrate clearing, risk, and matching into one environment that meets the same standards as the largest exchanges in the world.”
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The acquisition was part of a broader effort to build global infrastructure. Kraken now operates regulated derivatives venues in the United Kingdom, the European Union, and the United States. The system now spans six fiat currencies and more than 450 digital and traditional assets within a single architecture.
He added that, together, these elements created a network that moved collateral in real time, netted exposure across jurisdictions. The reduction of the capital inefficiencies that had long held back U.S. traders, emphasised that it was not about marketing or narrative but about building better market structure.
Kraken’s other developments
The announcement today comes after a string of significant turning points in Kraken’s push into the U.S. derivatives market.
In November 2024, we reported that Karken revealed a new licensed broker service that will provide eligible Australian wholesale clients access to a variety of intriguing crypto-based derivatives products.
Last month, on 4th September 2025, Kraken completed the purchase of Breakout, a proprietary trading company founded on evaluation-based funding.
In August 2025, UnoCrypto reported that Kraken stated had purchased the technology and assets of Capitalise.ai, a firm located in Israel.
As cryptocurrency develops, Kraken is setting the stage for institutional-grade markets by obtaining the required infrastructure and licenses now.
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