Kraken Diversifies Beyond Crypto with Forex Perpetual Futures
Kraken, the global leader in cryptocurrency exchange, has introduced a new asset class to its derivatives offering—forex perpetual futures (FX perps). Initially launching EUR/USD and GBP/USD, two of the most liquid and most actively traded currency pairs in the world.
This strategic move demonstrates Kraken’s growing desire to bring on board traditional financial products alongside its staple crypto products, making available more access and opportunity to both retail and institutional traders.
What Are FX Perpetual Futures?
FX perpetual futures are over-the-counter derivatives that allow foreign exchange price movement trading with no expiry, and traders can utilize no expiry without owning the asset. Kraken’s contracts follow DxFeed’s Composite Forex Index, encouraging real-time discovery of price on trading days and easy 24/7 trading using Kraken Pro.
Traders enjoy the support of up to 20x leverage to gain access to international currency markets directly on Kraken using specialized tools and protections that are appropriate for high volatility conditions.
Strengthening Kraken’s FX Footprint
Alexia Theodorou, Kraken’s Head of Derivatives, highlighted the company’s leadership in crypto-based FX spot markets as the foundation for this expansion. In 2024 alone, Kraken recorded $5.4 billion in FX spot trading volume—$3.5 billion of which came from EUR/USD and GBP/USD pairs.
“By introducing FX perps, we’re capitalizing on this market-leading position by providing clients with a powerful new tool,” said Theodorou.
Built-In Safeguards and Strategy Enhancements
To maintain market integrity and consumer protection, Kraken’s FX perps have safeguards like zero funding costs during stale price intervals and price collars that restrict trades beyond or below a ±4% threshold. This protection ensures that trading remains fair, especially during periods of excessive volatility.
A Broader March into Mainstream Finance
Kraken’s FX perps launch follows another major push into traditional finance: commission-less stock and ETF trading added in recent weeks. Together, these products highlight the exchange’s effort to bridge the gap between the traditional financial and crypto markets.
The company will add more FX pairs and geographically expand access to its new products over the coming months.
