News

BNY Is Reportedly in Talks With Kraken's Parent on a Broad Infrastructure Deal

BNY is reportedly in early talks with Kraken parent Payward on a partnership spanning crypto custody, trading, payments, and wealth management — a potential deal people familiar with the discussions say could echo Payward's recent infrastructure agreement with Nasdaq.

3 min read

BNY, the custody banking giant formerly known as Bank of New York Mellon, is in talks with Payward, the parent company of crypto exchange Kraken, over a broad partnership spanning digital assets and traditional financial-market infrastructure, according to a CoinDesk report citing people familiar with the discussions.

Deal status: talks remain ongoing and may not result in an agreement. Both BNY and Payward declined to comment.

Potential scope: the agreement could cover crypto products, custody, wealth management, trading, payments, and infrastructure, delivered through Payward Services — Payward's business-to-business platform for banks, fintechs, brokerages, and asset managers.

The Nasdaq comparison: one person familiar with the talks said elements of a potential BNY deal could resemble the infrastructure component of Payward's recent agreement with Nasdaq. Nasdaq Ventures agreed in September to invest $100 million in Payward, at a $21 billion valuation, while expanding collaboration on tokenized equities and market infrastructure.

The tokenization timeline: Payward and Nasdaq are targeting the second quarter of 2027 to launch the operational and commercial infrastructure behind Nasdaq Equity Tokens — tokenized U.S. stocks designed to carry the same voting and dividend rights as the underlying shares.

BNY's existing digital-asset footprint: the bank has been building out tokenized deposits and on-chain settlement capabilities for institutional clients, and holds SEC sign-off to custody crypto assets tied to bitcoin and ether ETPs.

Why it matters. Payward has spent the past year expanding well beyond Kraken's original spot-trading business, organizing itself around what it calls a "One Ledger" strategy that bundles trading, banking, wealth management, and institutional services into shared infrastructure. A partnership with BNY — one of the world's largest custody banks — would be another step in that same direction: positioning Payward as infrastructure that traditional financial institutions plug into, rather than a crypto-only exchange competing with them.

MarketCatalyst LLC is not a registered investment advisor and does not manage client assets. Content on this platform is provided for informational and educational purposes only. It is not investment advice, and MarketCatalyst is not a stock-picking or trade-alert service. Trading stocks and options involves risk, including the possible loss of principal. Consider your own goals, time horizon, and risk tolerance, and consult a qualified financial advisor before making any investment decision.