Kraken parent Payward posts 17% revenue gain as spot trading volume fell in Q2
SAN FRANCISCO, Aug 15. Second-quarter revenue at Payward, the parent company of crypto exchange Kraken, rose 17%, the company said, as crypto spot trading volume declined. Funded accounts climbed 42% over the same period. A growing share of revenue came from sources outside transaction-based fees.
Key takeaways
- Payward, the parent company of crypto exchange Kraken, reported a 17% rise in second-quarter revenue even as crypto spot trading volume declined.
- Funded accounts grew 42% during the quarter.
- A larger portion of second-quarter revenue came from non-transaction sources rather than transaction-based fees.
- The 42% growth in funded accounts against falling spot volume shows the platform added users faster than those users generated trading activity.
- Payward did not disclose dollar figures for its non-transaction revenue or identify which product lines gained share.
SAN FRANCISCO, Aug 15. Second-quarter revenue at Payward, the parent company of crypto exchange Kraken, rose 17%, the company said, as crypto spot trading volume declined. Funded accounts climbed 42% over the same period. A growing share of revenue came from sources outside transaction-based fees.
The volume-revenue divergence is the story inside the results. On a spot exchange, transaction fees move with trading activity. Revenue expanding while volume contracts means the non-trading lines absorbed the gap. Payward confirmed that reading, saying a larger portion of second-quarter revenue came from non-transaction sources.
Funded accounts, up 42%, are the user metric Payward chose to disclose. The figure covers deposited users rather than active traders. A funded account reflects capital held on the platform. It does not count toward volume figures unless the user places a trade.
The 42% growth in funded accounts against falling spot volume indicates the platform added users faster than those users generated trading activity in the quarter. That gap, user acquisition outrunning transaction throughput, is the number to hold. Payward did not report dollar figures for its non-transaction revenue or identify which product lines gained share during the period.