Kraken parent Payward has agreed to acquire Hong Kong-based Reap Technologies for $600 million in a cash-and-stock deal. Payward will issue shares at a $20 billion valuation to complete the purchase, according to Kraken co-CEO Arjun Sethi. The acquisition signals a major push by Kraken to expand stablecoin payment solutions across Asia.
The owner of crypto exchange Kraken has agreed to pay $600 million for Reap Technologies, a stablecoin-oriented provider of cross-border and business payments services. https://t.co/iu5FDFDcOq
— Bloomberg (@business) May 7, 2026
Strategic transition toward stablecoin-led commercial payments
Reap focuses on stablecoin-powered cross-border B2B payments from Hong Kong. The deal values Payward at $20 billion and follows recent $800 million funding from Jane Street and Citadel. Reap’s technology streamlines corporate finance using stablecoins for cross-border business payments. Kraken plans to use this platform to expand beyond retail trading and target institutional settlements.
Potentially, the deal is a response to rising demand for programmable money in global trade. By acquiring Reap, Kraken gains control of key payment rails in Hong Kong and strengthens its position in Asia-Pacific Web3 growth.
This is Payward’s sixth acquisition in the past year, following deals for Bitnomial at $550 million and Magna, a $60 billion TVL platform. The buying spree signals IPO preparation as Payward targets $2.2 billion in 2025 revenue.
Favourable regulation and the push for market dominance
The timing of the acquisition coincides with Hong Kong’s efforts to establish itself as a regulated hub for digital assets. For Kraken, acquiring a local player like Reap provides an immediate foothold in a region where licensing is both prestigious and difficult to obtain.
This $600 million bet reflects a broader industry trend in which liquidity providers are buying utility-driven platforms to survive in a competitive landscape. The $600 million deal shows a trend of liquidity providers acquiring utility-focused platforms to stay competitive. As retail trading volumes shift, stablecoin B2B payments continue to grow. Investors are watching to see if other exchanges will also consolidate cross-border payment firms to keep pace with the rise of central bank digital currencies.
Ultimately, Payward achieved substantial financial growth in 2025. Its revenue surged 33% year on year, rising from $1.6 billion to $2.2 billion in 2024, according to a DeFi Planet report. This increase was driven by a rise in transaction volumes and strategic acquisitions that broadened its product offerings. Co-CEO Arjun Sethi noted that total transaction volumes increased by 34% to $2 trillion over the year, attributing the strong performance to both its trading and asset-based services.
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