Kraken to launch blockchain network in 2025

As a seasoned analyst with years of experience in the cryptocurrency market, I find Kraken’s upcoming blockchain network, Ink, an intriguing development. Having closely followed the industry since its inception, I can see parallels between this new project and Coinbase’s Ethereum layer-2 network, Base.


The company known as Kraken, which has its founder contributing a million dollars’ worth of cryptocurrency to Donald Trump, plans to introduce a blockchain network within the upcoming year.

According to Bloomberg, the forthcoming debut of Kraken’s platform is referred to as ‘Ink’, and it appears to mirror certain aspects of Coinbase’s Ethereum layer-2 network known as Base in its design. Based in California, Kraken aims to join the ranks of U.S. crypto exchanges by launching their own decentralized chain equipped with smart contract capabilities around early 2025.

According to the creators of Ink, this new project is designed to address scalability issues within Ethereum, often referred to as Layer 2 solutions. Andrew Koller, the founder of Ink, mentioned that Kraken’s blockchain platform will enable both retail and institutional investors to participate in secure, on-chain financial transactions without the need for intermediaries.

Similar to how Base is built on Ethereum, Koller and his team developed Ink as a platform for hosting decentralized applications such as Aave (a DeFi lender) or Aerodrome (the largest DEX on Coinbase’s L2). Ink leverages the same developer tools as Optimism, which also powers Base.

Coinbase’s Base platform has climbed to be the fifth-largest DeFi network, with an impressive accumulation of user deposits or total value locked among any Ethereum layer-2 networks. As reported by DeFiLlama, a staggering $2.4 billion has been invested on this platform since its debut in August 2023. Notably, Ethereum, Tron (TRX), Solana (SOL), and Binance Smart Chain have a larger Total Value Locked (TVL) than Base.

The success achieved by Base and Binance Smart Chain may offer a glimpse of how high a crypto exchange-backed blockchain could climb in a short time. Kraken, alongside Binance and Coinbase, is one of the largest digital asset trading platforms.

The disclosure of ink might symbolize Kraken’s optimistic view towards the future of the U.S. cryptocurrency market following elections. Back in June, Kraken’s founder, Jesse Powell, contributed approximately $1 million, primarily in ETH, to the Republican candidate and former President Donald Trump.

The probability of Donald Trump winning the November presidential elections has noticeably increased according to forecasting platforms such as Kalshi and Polymarket.

According to recent updates, legal disputes have arisen for Powell’s cryptocurrency exchange due to charges brought forth by the Securities and Exchange Commission. The judge decided to proceed with the SEC’s lawsuit, but the company contends it was not functioning as an unregistered securities exchange. They requested a trial by jury instead.

Recently, I made a personal contribution of approximately $1 million, primarily Ethereum (ETH), to the account of Donald Trump on Twitter.

— Jesse Powell (@jespow) June 28, 2024

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2024-10-24 17:18