Kraken Unveils U.S. Crypto Borrowing Product with Up to Three Times Buying Power

Kraken has launched its U.S.-based crypto borrowing product, Kraken Borrow US, on September 24th. The service allows eligible customers in 48 states to access additional buying power for cryptocurrency purchases through collateralized borrowing. New York and Maine are excluded from participating due to applicable commodities laws.

The product uses a customer's U.S. dollar balance first before allowing borrowing. Buying power can reach up to three times the value of eligible assets, depending on the amount of collateral provided and asset eligibility. A total of 27 trading pairs on Bitnomial are supported at launch, with more than 48 assets qualifying as collateral.

Kraken Borrow US combines a spot trade provided by Payward Interactive Inc. with a spot-margin trade offered through NinjaTrader Clearing LLC, doing business as Kraken Derivatives US. NinjaTrader Clearing is a Commodity Futures Trading Commission-registered Futures Commission Merchant and National Futures Association member.

Certain customers are excluded from the product, including those with more than $10 million in total investments under applicable commodities law. Losses can exceed the initial investment, and additional collateral may be required.