Kraken Acquires Breakout for Prop Trading Expansion, Enhancing Capital Allocation and Market Activity

Kraken has made a strategic move by acquiring the trading firm Breakout. This acquisition combines Kraken Pro’s existing platform with Breakout’s merit-based capital allocation model, granting skilled traders access to up to $200,000 in company capital. This integration signifies a shift toward performance-based rewards rather than traditional capital requirements. The acquisition is expected to impact BTC and ETH trading volumes through enhanced leverage (up to 5x). Traders will have increased access to capital without personal lockup, potentially leading to increased market liquidity.