Kraken Parent Acquires Magic Labs' Embedded Wallet Business for 60M Users

Payward, the parent entity behind cryptocurrency exchange Kraken, has acquired Magic Labs' wallet-as-a-service division for an undisclosed price. The deal, finalized on July 27, integrates embedded wallet capabilities into Payward Services.

The acquired infrastructure supports over 60 million self-custody wallets and has facilitated more than $10 billion in stablecoin transfers.

Magic Labs will rebrand itself as Newton Labs and focus on its Newton Protocol initiative, which validates blockchain transactions against predetermined security policies and risk parameters. The company's current clients will transition to Payward Services by August 1, with no immediate changes required from users.