Payward Acquires Magic Labs Wallets as Newton Labs Emerges

Magic Labs has divested its embedded wallet operations to Payward Services, which operates the prominent cryptocurrency exchange Kraken. The company will undergo a transformation into Newton Labs, focusing on building institutional-grade onchain finance infrastructure.

The deal marks another milestone in Payward's expansion campaign throughout 2026, following its purchases of derivatives platform Bitnomial for up to $550 million and Hong Kong stablecoin payment processor Reap Technologies for approximately $600 million. This strategic acquisition delivers battle-tested embedded wallet infrastructure with substantial developer adoption and proven scalability.

Newton Labs will dedicate its resources exclusively to advancing the Newton Protocol, which implements compliance verification, security protocols, identity authentication, and risk assessment mechanisms prior to blockchain transaction finalization. The protocol has already seen a mainnet beta release in June 2026.