Kraken has announced a strategic acquisition of Breakout, a leading proprietary trading firm known for its meritocratic approach to funding skilled crypto traders. This move significantly strengthens Kraken’s advanced trading capabilities and positions the company for potential IPO in 2026. **How It Works:** The acquisition integrates an evaluation-based prop trading model into Kraken Pro, granting qualified traders up to $200,000 in capital based on their proven trading skills and risk management abilities. Successful traders keep 90% of their profits which are paid out on demand. This structured process involves rigorous assessments under real market conditions and strict drawdown rules before gaining access to funded capital. **Benefits:** This integration fosters a performance-first approach, granting skilled traders the opportunity to leverage advanced trading strategies, including over 50 trading pairs with up to 5x leverage on Bitcoin (BTC) and Ethereum (ETH). **Impact on Kraken’s Growth Strategy:** The acquisition is part of Kraken’s broader expansion strategy, focusing on empowering advanced users and preparing for a potential IPO. The firm also continues to develop innovative tools for its platform through acquisitions like Capitalise.ai for no-code trading automation and secures global reach with the Markets in Crypto-Assets Regulation license across the European Economic Area. **Building an Equitable Financial System:** The integration of Breakout’s evaluation-driven model, combined with Kraken’s robust infrastructure, security, and market liquidity, creates a platform where traders can demonstrate their skills and achieve consistent growth.