TL;DR
- Institutional Kraken joined forces with Shifting into higher geara multi-chain vault infrastructure provider, to launch institutional safes accessible directly via Kraken’s qualified custody solution.
- Eligible customers can deploy assets in approved environments chain yield strategies without opening separate wallets or integrating additional providers.
- The safe positions are represented by receipt tokens held in separate Kraken custody and valued at the redeemable amount, without pooling or remortgaging.
- The integration combines qualified guard, prime brokerageliquidity and execution, and chain yield in a unique institutional relationship.
We partnered with Upshift, a multi-chain, multi-protocol vault infrastructure provider that raised a $10 million Series A led by Dragonfly in March 2025, to integrate custom, permissioned vaults directly into the Kraken institutional experience.
Through this integration, Kraken institutional clients can access DeFi yield directly from Kraken’s qualified custody solution, leveraging tailored and curated strategies through their existing Kraken relationship. No managing separate wallets, integrating multiple providers, or building the infrastructure to coordinate on-chain and centralized activities.
The launch brings together Kraken’s skilled custody, deep exchange liquidity, best-in-class execution, OTC services, staking and margin funding with Upshift’s institutional vault infrastructure. Together, the platforms are designed to provide institutions with a more capital efficient way to generate returns and access market opportunities through a single institutional relationship.
What is launching
With the Kraken Institutional × Upshift integration, institutions can deploy assets to permissioned vaults directly from their existing custodial accounts. For on-chain allocations, the underlying asset is deployed to selected vault contracts and a receipt token representing the position is returned to the client’s separate Kraken qualified custody solution.
The receiving token is neither pooled nor rehypothecated and is reflected at its underlying redeemable value on the custodial statement, giving clients clear visibility into what they can withdraw. Institutional controls and accounting are maintained at the vault, protocol, chain, and token levels.
Rather than generic shared pools, Upshift creates custom, dedicated vaults around a specific client’s strategy, asset mix, liquidity needs, and risk parameters. Kraken will work with Upshift and a curated group of professional and vetted vault curators to support DeFi, CeFi, PayFi, and real-world asset strategies across 30+ chains.
More Than Custody: The Complete Institutional Stack Behind Every Vault
Inactive stablecoin, ETH, or BTC positions held through Kraken Institutional can become the starting point for a broader capital deployment strategy. Kraken combines qualified custody with the institutional services needed to effectively deploy capital across the OTC and on-chain exchanges:
- Qualified guard. SOC 2 Type 2 certified, Wyoming SPDI licensed cold storage with segregated account structures, $100 million in insurance coverage, MiCA authorization with the Central Bank of Ireland and FCA registration in the UK, operational since 2011.
- Top-notch brokerage and financing. Kraken Prime offers asset-backed loans, margins and credit facilities, allowing eligible customers to access financing without unnecessarily unwinding their positions.
- Deep liquidity and execution. Intelligent order routing and algorithmic execution on Kraken and multiple external venues provide access to deep digital asset liquidity for block trades and other institutional execution needs.
- Staking, settlement and tokenized assets. Native staking, institutional settlement flows, and supported real-world token assets can be integrated into broader capital and collateral strategies, subject to product and jurisdiction eligibility.
The result is a more capital efficient institutional yield platform: clients can access yield in one place, without independently managing wallets, chains, venues, counterparties or protocols, and without the operational burden that has historically made many yield opportunities impractical.
Aya Kantorovich, CEO and co-founder of Upshift: “Institutions have long faced a trade-off between secure custody and use of funds. Kraken and Upshift effectively remove the operational costs of sourcing yield across exchange, over-the-counter, and on-chain markets that have kept capital idle.”
“Kraken combines qualified custody with a comprehensive set of best-in-class services, while Upshift provides the vault infrastructure to operate the assets. Together, clients can generate yield without creating new wallets, counterparties or protocols, while maintaining rigorous built-in risk management.”
Gregory Barasia, Head of Kraken Asset Management, Kraken Institutional: “Custody should be the starting point for what institutions can do with their assets, not the end point. Vaults are the next step in making Kraken Custody the most productive place for institutional capital.”
What this unlocks for institutions
For institutional clients, the integration removes a long-standing trade-off: clients no longer have to choose between holding their assets securely and putting them to work. The architecture is designed to activate assets already held through Kraken Institutional while preserving institution-specific risk settings, permissions, approvals and reporting.
It offers eligible clients a single point of access for on-chain yield, centralized market strategies, trade liquidity, credit, derivatives and tailored OTC opportunities, without adding a separate operational stack.
Availability
Institutional Vaults is deployed to eligible Kraken Institutional and Kraken Custody customers in supported jurisdictions, subject to onboarding, product eligibility and policy-specific terms. To request access, contact your Kraken Institutional representative or visit kraken.com/institutions.
Custody Services are provided by Payward Financial, Inc. or Payward Europe Solutions, Ltd, as applicable. Payward Financial, Inc. d/b/a Kraken Financial is not an FDIC-insured bank and deposits are neither insured by nor subject to the protections of the FDIC. Payward Europe Solutions Limited, trading as Kraken, is regulated by the Central Bank of Ireland.
Rewards are variable and not guaranteed; you may lose some or all of your assets. Interacting with on-chain smart contracts involves risks that are more detailed in the Terms of Service, including technological risk (bugs, exploits and Oracle/MEV/bridge failures), market risk (price volatility, unpegging and liquidation where applicable) and operational risk (irreversible transactions, gas fees, network congestion). Kraken does not control third-party protocols. Offered by Payward Wallet, LLC. Fees apply. Availability varies by jurisdiction.
OTC services, including spot trading, derivatives and lending, are offered by Payward Oceanic Ltd., a member of the Kraken Group. These products are available only to eligible customers and may not be offered in all jurisdictions. OTC transactions involve risks and may result in capital loss. This communication is for informational purposes only and does not constitute investment, legal or tax advice. Availability is subject to applicable laws and regulatory requirements.
