Crypto exchange Kraken is entering the global finance space in a big way with the launch of Krak, a sleek new peer-to-peer payments app aimed at tackling outdated financial systems and rivaling platforms like PayPal and Cash App.
Unveiled on Thursday, Krak is available in over 160 countries and supports more than 300 assets—ranging from fiat and stablecoins to major cryptocurrencies. It allows users to send and receive value instantly, with near-zero fees and no need for bank accounts or long crypto wallet addresses.
Krak vs. Traditional Payments: A Crypto-Powered Upgrade
While Kraken is best known for its crypto exchange, Krak represents a major strategic pivot toward consumer-focused financial services. Built specifically for payments—not trading—Krak enables seamless, low-cost global transfers using a user-friendly ID system called Kraktags.
This eliminates the complexity of traditional blockchain transactions and opens the door for anyone to send money worldwide—whether in USD, EUR, stablecoins, or crypto—with just a few taps.
Kraken’s Krak directly challenges legacy apps like Venmo, Zelle, and PayPal, but with a wider range of supported assets and significantly lower transfer costs.
Earn While You Send
One of Krak’s standout features is its built-in earning system. Users can earn:
- 4.1% APR on stablecoins like USDG
- Up to 10% APY through crypto staking
These features go beyond typical payment apps and rival dedicated earning platforms, giving Krak users more value for holding and sending funds.
More Than Just Transfers
Kraken confirmed that Krak is just the beginning. Upcoming features include:
- Collateralized loans (pay-in-advance services)
- Physical & virtual Krak cards
- Advanced yield tools using stablecoins and tokenized reserves
The company’s vision is to combine the speed and transparency of blockchain with the simplicity of modern fintech—creating a system that’s global, digital, and always on.
In a statement, Kraken said:
“We built Krak because the financial system is stuck in the past. Global money movement should be instant, low-cost, and easy.”
As stablecoins and Web3 payments grow more mainstream, Kraken’s Krak app could be the one to bridge the gap between crypto-native tools and real-world financial utility.
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