Magna reached a peak $60 billion in total value locked (TVL) in 2025 before being acquired by Kraken. The deal extends Kraken’s push deeper into token lifecycle infrastructure ahead of a planned public listing.
Kraken disclosed the acquisition Wednesday, marking its sixth purchase in 12 months. Terms were not disclosed, though PitchBook data shows Magna was last valued at $70 million. Fortune first reported the transaction. Magna, founded in 2021 and part of Y Combinator’s 2022 winter cohort, provides tooling for vesting schedules, airdrops, and token allocation management across multiple chains.
Ben Weiss
Why Is Kraken Expanding Into Token Lifecycle Management?
The move places Kraken alongside rivals targeting token distribution infrastructure. Anchorage Digital acquired Hedgey in December to expand its token allocation and vesting capabilities, while Coinbase purchased Liquifi last summer. Control over vesting, custody, and claims tooling can anchor projects early in their lifecycle and create long-term exchange relationships.
“Magna has already become a core piece of infrastructure for teams managing billions of dollars in active token ecosystems,” Kraken said in a release.
Co-CEO Arjun Sethi added that reliable lifecycle infrastructure prevents market consolidation around distribution gatekeepers and connects fundraising, distribution, and liquidity into a single operational layer. He framed the acquisition as a way to engage builders earlier without restricting them to one technology stack.
The transaction comes as Kraken advances toward an initial public offering. The exchange filed for confidential registration in November and recently raised funds at a $20 billion valuation. Its SPAC affiliate, KRAK Acquisition, listed on Nasdaq after raising $345 million. Parent company Payward reported $2.2 billion in adjusted 2025 revenue, up 33% year over year. Whether additional infrastructure deals follow may signal how aggressively Kraken integrates token issuance and trading ahead of its public debut.
