Kraken Launches Krak App for 4.1% Earnings on Cross-Border Payments

Kraken, a leading global cryptocurrency exchange, has unveiled its latest innovation: the Krak app, designed to revolutionize cross-border payments. This new application enables users to send, receive, and earn money across 110 countries using over 300 supported assets, including fiat currencies, stablecoins, and cryptocurrencies. The launch of Krak comes at a time when regulatory environments in major economies, such as the US, are becoming more receptive to crypto innovation, prompting firms like Kraken to enhance their consumer-focused offerings.

One of the standout features of the Krak app is its ability to facilitate seamless peer-to-peer transfers without the need for bank account details or wallet addresses. This streamlined process addresses a major pain point in cross-border money transfers, making the experience more efficient and user-friendly. The app leverages Kraken’s extensive network of global banking and payments partners, ensuring compatibility with traditional financial systems while maintaining the efficiency of decentralized finance.

Beyond its transfer capabilities, the Krak app offers a suite of financial tools aimed at maximizing returns on users' holdings. Users can earn up to 4.1% on balances held in USDG, a dollar-pegged stablecoin issued by the Global Dollar Network. Additionally, the app features over 20 yield-bearing digital assets that can generate returns of up to 10%, including staking opportunities and savings-like functions across multiple coins. These features enable users to earn passive income without leaving the app environment, although yield-generating products are designed for compliance with applicable regulations and are limited to eligible users.

The introduction of the Krak app aligns with the growing trend of regulatory clarity in the US crypto market, where both institutional and retail adoption are on the rise. Exchanges like Kraken are expanding their ecosystems to include tools for decentralized identity, payment infrastructure, and digital asset savings—areas that were previously fragmented across multiple services. This move aims to fill gaps left by traditional banks, which continue to face challenges with the inefficiencies of global remittance systems. In contrast, crypto rails offer near-instant settlement, reduced fees, and broader accessibility, making the Krak app an attractive option for a wider user base, including those seeking cheaper and faster alternatives to existing payment platforms.