Payward (Kraken's parent) reported Q2 revenue of $508M (+17% YoY) but adjusted EBITDA collapsed to $23M from $80M as trading volume fell.
Macro & Markets ·
Payward, parent of the Kraken exchange, reported Q2 adjusted revenue of $508 million, marking 17% year-over-year growth. However, adjusted EBITDA contracted sharply to $23 million from approximately $80 million in the prior-year period, signaling margin compression despite the top-line gain.
Platform transaction volume declined to $310 billion in the quarter, while the number of funded accounts expanded 42% to reach 6.6 million. The company's revenue composition shifted, with asset-based and other revenue rising to 60% of total revenue from 55% a year earlier, reflecting a diversification away from pure trading fees.
The divergence between revenue growth and profitability decline underscores the pressure on crypto trading venues as spot and derivatives volumes moderate. Whether this margin recovery represents a temporary trough or signals structural changes in Kraken's fee environment remains unclear.