Payward gets into selling trader evaluation challenges with Kraken Prop

Wallet Size Range

$5,000 - $200,000

Traders can choose from six wallet tiers for their evaluations.

Evaluation Fee Range

$45 - $800

Fees depend on the selected wallet size for the evaluation.

Profit Retention

80% - 90%

Funded traders can retain a significant portion of their profits.

§ 01 Executive Snapshot

What: Kraken launches Kraken Prop, a proprietary trading program for crypto traders.
Who: Kraken, part of Payward Inc, and Breakout, a retail crypto prop trading firm.
Why it matters: The move signifies mainstream acceptance of prop trading in the crypto space, allowing traders to leverage firm capital while minimizing personal financial risk.

§ 02 Key Developments

Kraken Prop allows traders to choose wallet sizes between $5,000 and $200,000 for evaluation.
Evaluation fees range from $45 to $800 depending on the chosen wallet size.
Funded traders can keep 80% of their profits, with an option to upgrade to 90% profit retention.

§ 03 Strategic Context

Prop trading has traditionally been limited to established financial firms, but Kraken’s entry into the space indicates a shift towards broader adoption in the crypto market.
The acquisition of Breakout positions Kraken as a competitive player in the prop trading ecosystem, enhancing its service offerings and attracting skilled traders.

§ 04 Strategic Implications

Immediate implications include increased competition among crypto prop trading firms, potentially driving innovation and service improvements.
Long-term implications may involve a shift in trader behavior as more individuals seek to utilize firm capital to trade, thereby reducing personal risk exposure.

§ 05 Risks & Constraints

Potential risks include the unregulated nature of the program, which may expose participants to unforeseen liabilities.
There is also a risk of high evaluation fees acting as a barrier for potential traders, especially if they fail to pass the evaluation.

§ 06 Watchlist / Forward Signals

Key milestones to watch include the number of traders successfully passing the evaluation and transitioning to funded accounts.
Future developments will include any regulatory changes affecting prop trading and Kraken’s ability to scale the program effectively.

§ 07

Frequently Asked Questions

What is Kraken Prop?

Kraken Prop is a proprietary trading program launched by Kraken that allows crypto traders to leverage firm capital while minimizing personal financial risk.

Who is involved in the Kraken Prop program?

The program is part of Kraken, which is owned by Payward Inc, and involves Breakout, a retail crypto prop trading firm.

How much can traders keep from their profits?

Funded traders can keep 80% of their profits, with the option to upgrade to 90% profit retention.

What are the risks associated with Kraken Prop?

Potential risks include the unregulated nature of the program, which may expose participants to unforeseen liabilities, and high evaluation fees that could deter traders.