Payward Scoops Up Magic Labs' Wallet Business Amid Web3 Push
Payward, the parent company of cryptocurrency exchange Kraken, has reached an agreement to acquire Magic Labs' embedded wallet business through an asset sale deal.
Magic Labs has accumulated over 60 million created wallets and support for 200,000 developers since its founding in 2018. The acquired division constitutes the technical core that enables more than 200,000 developers to incorporate frictionless custody features into consumer and institutional applications.
The acquisition aligns with a series of strategic deals executed by Payward to expand its corporate offering. This includes the purchase of CFTC-licensed derivatives exchange Bitnomial for up to $550 million in cash and stock, as well as Reap Technologies, a Hong Kong-based firm specializing in stablecoin payments.
The transition of the wallet service to Payward Services is scheduled to be formally finalized upon closing standard transactional conditions. Newton Labs will exclusively focus its activity on the Newton Protocol, an authorization layer designed to enforce compliance, security, and risk management policies prior to onchain transaction settlement.