Payward, the parent company of the popular crypto exchange Kraken, has announced plans to acquire Saldo Bank, a Lithuania-based online bank licensed in the European Union. This acquisition, expected to close in 2027 pending regulatory approval, would make Payward the first crypto-native firm to own a European bank.
The deal would allow Payward to offer a range of banking services across Lithuania, Finland, Sweden, Germany, and the Netherlands. These services include interest-earning deposits, consumer and small business loans, credit cards, and euro transfers through SEPA, a system that simplifies payments across European borders. The acquisition would also enable Payward to provide banking infrastructure for other fintech companies.
Kraken declined to disclose the acquisition price, noting that it does not disclose financial terms for its deals. Under EU rules, banks can extend their services into other member countries through a process known as passporting, rather than seek a separate banking license in each market.
The acquisition would give Kraken an advantage over peers like Coinbase and Ripple, whose national trust charters in the U.S. only allow them to safeguard funds and move money without touching customer deposits. 'A regulated EU bank is the piece that lets us serve European clients the way a primary financial institution should: one place to hold assets, move them freely, and put them to work,' said Arjun Sethi, co-CEO of Payward.