According to a recent LinkedIn post from Kraken, the company is emphasizing over-the-counter (OTC) services aimed at clients holding large token positions. The post highlights that managing such positions involves tax, timing, and governance considerations in addition to trading execution.
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The company’s LinkedIn post suggests that Kraken VIP clients can access bespoke structured solutions, including costless collars, to manage downside risk without an outright sale or upfront option premium. For investors, this points to Kraken’s efforts to deepen relationships with high-net-worth and institutional crypto holders, potentially increasing fee-based revenue and differentiating its offering in the competitive digital-asset trading market.
By focusing on risk management tools for concentrated token holders, the post indicates Kraken is positioning its OTC desk as more than a transactional venue. This could support higher-margin advisory-style services and help the firm capture flows from clients concerned with volatility, which may improve client retention and average revenue per VIP customer over time.
The emphasis on structures that mitigate tax and governance impacts may appeal to token issuers, founders, and early investors who are sensitive to signaling effects of sales. If adoption of these solutions scales, Kraken could strengthen its standing among sophisticated market participants, potentially enhancing its role in large-block crypto liquidity and reinforcing its competitive position in institutional crypto finance.