Kraken, the US-based crypto exchange, today launched DeFi Earn, a new product allowing users to earn on-chain rewards of up to 8% APY directly in its app without manual wallet setup or DeFi technical interactions.
The product is available to users in the United States, Canada, and Europe, expanding access to managed on-chain yield across major regulated markets.
The offering uses an integrated wallet infrastructure provided by Privy, allowing users to deposit assets and earn yield without seed phrases or transaction signing. Users can choose between balanced, high, or advanced vaults, with rewards generated automatically once funds are deposited.
Yield comes from borrower demand on established DeFi protocols including Aave, Morpho, Tydro, and Sky Ecosystem. Strategy execution is carried out by Veda Labs, while risk management and monitoring is carried out by Chaos Labs and Sentora.
Kraken said withdrawals are generally instantaneous, although temporary delays may occur during periods of tight vault liquidity. The company emphasized that rewards arise from actual on-chain activity rather than token incentives or subsidies.
