Kraken Launches Commission-Free Stock, ETF Trading in US

Kraken, a prominent crypto exchange, has announced the launch of commission-free stock and exchange-traded fund (ETF) trading in the United States. This move marks the company's entry into traditional finance through its newly established division, Kraken Securities. The service is initially available in ten U.S. states, with plans to expand nationwide and eventually to international markets.

U.S.-based clients in states such as New Jersey, Connecticut, Wyoming, and Alabama can now trade over 11,000 U.S.-listed stocks and ETFs directly from their Kraken accounts. This phased rollout aims to integrate traditional and digital assets on a single platform, allowing users to manage a portfolio of crypto, stocks, stablecoins, and cash within the Kraken mobile app and Kraken Pro app.

The new stock trading feature includes capabilities such as fractional trading, enabling users to buy slices of high-priced stocks, and instant reinvestment of funds across stocks or crypto after a sale. Kraken aims to eliminate the need for multiple platforms by offering a fully integrated experience. Kraken Securities, a FINRA-regulated entity in the U.S., has also secured regulatory approval in the U.K.

Arjun Sethi, Kraken’s Co-CEO, stated, “Crypto isn’t just evolving, it’s becoming the backbone for trading across asset classes. Expanding into equities is a natural step for us and paves the way for the tokenization of assets.” Kraken plans to rapidly expand stock and ETF trading access to more U.S. states and key international markets, including the U.K., Europe, and Australia.

Earlier this month, the U.S. Securities and Exchange Commission (SEC) dropped its charges against Kraken, ConsenSys, and Cumberland DRW. The dismissal of charges was based on a “regulation-by-enforcement” approach that disregarded the leading crypto exchange’s consistent business model without merit. In 2023, Kraken was accused of operating as an unlicensed securities exchange, broker, and clearing agency. The SEC argued that the platform enabled crypto trades that qualified as securities without proper registration.