It looks like CFDs trading isn’t the only new area that Kraken is trying to crack.
Fresh off its acquisition last month of auto trading platform provider Capitalise.ai, US based crypto exchange operator Kraken is getting into the rapidly-growing retail prop trading space, announcing the acquisition of Breakout, an evaluation-based prop trading firm that provides skilled traders with the opportunity to earn payments for successfully deploying strategies at scale.
The parties did not disclose the financial terms of the acquisition, or the price paid for Breakout.
Breakout enables qualified traders to access up to $200,000 in notional capital. To qualify, traders must first purchase and pass a rigorous evaluation (or “challenge” phase), and maintain performance above predefined drawdown limits. Traders who succeed in the evaluation receive a funded account and are eligible to retain up to 90% of any profits they generate, which are paid directly to them on-demand.
Arjun Sethi, co-CEO of Kraken said,
“Breakout gives us a way to allocate capital based on proof of skill rather than access to capital itself. In a world that is rapidly shifting from who you know to what you know, we want to build systems that reward demonstrated performance, not pedigree. That is deeply embedded in Kraken’s cultural DNA. Breakout’s evaluation first model is designed to verify risk discipline, strategy consistency, and real market decision making under pressure. This is not simulation for simulation’s sake. It is a filter for scalable signal.”
The parties said that this acquisition advances Kraken’s mission by empowering the world’s most capable traders to allocate at size into the crypto markets. It also reaffirms Kraken’s commitment to building innovative, performance-based products that are open to all. Breakout, in turn, gains the benefit of Kraken’s global infrastructure and trusted brand. Over time, Breakout will be integrated directly into the Kraken Pro platform, offering seamless access to eligible users.
Alex Miningham, co-founder and CEO of Breakout, said,
“Breakout gives traders a performance-based starting point. Kraken delivers the scale and tools to grow. Together, both companies form a unified ecosystem that supports the full trader journey from education through independent capital deployment.”
Sethi continued,
“By integrating Breakout into Kraken, we are building an infrastructure layer where traders can earn their way into size, deploy capital with minimal friction, and get paid on merit. This is how modern capital platforms should work. Transparent, programmable, and open to anyone with an edge.”
Breakout offers traders the ability to develop strategies across a selection of 50+ crypto pairs, with up to 5x leverage available on BTC and ETH contracts. Traders must pass an evaluation before receiving notional capital allocation, and must requalify if they breach drawdown thresholds.
A maximum $100,000 in notional capital is available for each funded client account. Clients are able to have more than one account, with a maximum of $200,000 in notional capital in aggregate.
Breakout put out the following video explaining the deal with Kraken.
About Kraken
Founded in 2011, Kraken is one of the world’s longest-standing and most secure crypto platforms globally. Kraken clients trade more than 450 digital assets, traditional assets such as U.S. futures and U.S.-listed stocks and ETFs, and 6 different national currencies, including GBP, EUR, USD, CAD, CHF, and AUD. Trusted by more than 15 million institutions, professional traders and consumers, Kraken is one of the fastest, most liquid and performant trading platforms available.
Kraken’s suite of products and services includes the Kraken App, Kraken Pro, the Krak App, Kraken Institutional, Kraken Onchain and the Ninja Trader retail trading platform. Across these offerings, clients can buy, sell, stake, earn rewards, send and receive assets, custody holdings, and access advanced trading, derivatives, and portfolio management tools.
About Breakout
Breakout is a crypto-native proprietary trading platform built to educate, fund, and scale serious crypto traders. Through a transparent, evaluation-based model, qualified traders can access funded accounts with no personal deposit required (other than the cost of the evaluation). Once a trader passes the evaluation and receives a funded account, they can access 50+ crypto pairs with institutional-grade liquidity and keep up to 90% of profits they generate, all of which can be withdrawn on-demand.
Breakout is built to set a higher standard: a trader-first design with clear rules, drawdown controls, visible leaderboards, and education that helps traders refine an edge in real-market conditions.
Breakout’s mission is to reward skilled traders with scalable capital making performance, not personal bankroll, the basis for opportunity.
