Kraken Acquires Token Management Platform Magna
Crypto exchange Kraken has acquired Magna, a platform for managing token vesting and distributions that reportedly peaked at $60 billion in total value locked. The acquisition is Kraken's sixth this year and is intended to expand its suite of tools for crypto protocols and DAOs. The move signals further consolidation and professionalization of token management infrastructure in the industry.
Magna, founded in 2022 by CEO Bruno Faviero and CTO Arun Kirubarajan, emerged from the Y Combinator 2022 winter cohort. The New York-based platform specializes in automating token distributions, including handling complex vesting schedules and airdrops for crypto protocols. The firm secured $15.2 million in a 2022 seed round co-led by Tiger Global and Tusk Venture Partners. The round also saw participation from a wide array of crypto-native investors, including Circle Ventures, Solana Ventures, Polygon, and Ava Labs, signaling early conviction in the need for professionalized token management infrastructure. Prior to the acquisition, Magna was last valued at $70 million. The platform serves over 160 clients and provides tools for on-chain and off-chain vesting, white-label token claims, and specialized staking workflows, becoming a key piece of infrastructure for teams managing token ecosystems. This deal marks Kraken's sixth acquisition in the past 12 months, a spree that includes the $1.5 billion purchase of U.S. futures platform NinjaTrader and the acquisition of Backed Finance, the issuer of tokenized securities. The strategy points to a clear focus on building a full-stack service offering for institutional clients, from token issuance to liquidity and custody. The move mirrors a broader industry trend of exchanges vertically integrating token lifecycle management. Competitors have made similar plays, with Anchorage Digital acquiring token vesting platform Hedgey and Coinbase purchasing Liquifi, highlighting the growing importance of providing robust tooling for protocol teams and DAOs. For Kraken, acquiring Magna is a strategic push to engage with token projects much earlier in their lifecycle, well before a potential listing. Co-CEO Arjun Sethi stated the goal is to create an "open, chain-aware infrastructure that engages builders earlier and connects fundraising, distribution, and liquidity into a single operating layer."
