Kraken Parent's Q2 Profit Plunges 71% Amid Crypto Market Downturn

Payward's Q2 Profit Plummets 71% Amid Crypto Market Decline

The parent company of US cryptocurrency exchange Kraken, Payward, reported a sharp decline in second-quarter profitability. Adjusted pretax profit fell to $23 million, a 71% drop from the $79.7 million recorded in the same period last year.

This downturn is attributed to falling cryptocurrency prices and reduced trading volumes, which have pressured margins across the industry.

Despite this decline, Payward's adjusted revenue rose 17% year-over-year to $508 million. The number of funded active accounts climbed 42% to a record 6.6 million.