Walkers has acted for Backed Finance AG in its acquisition by long-standing cryptocurrency platform Kraken.
Kraken offers trading in over 500 different crypto assets and six national fiat currencies and is used by institutions, professional traders and consumers globally.
As part of the deal, Kraken acquired Backed Assets (JE) Limited, Jersey’s first tokenised assets issuer – which Walkers advised on at launch – as part of the crypto platform’s broader expansion into the tokenised assets space.
Backed and Kraken have helped develop and scale the xStocks product, which recently surpassed over $10bn in combined exchange and onchain trading volume, just six months after public launch.
Walkers says the acquisition enables Backed and xStocks to leverage Kraken’s operational scale and financial strength to further accelerate the growth of the xStocks ecosystem, and will empower Kraken with proven infrastructure in compliant tokenised assets.
Walkers’ Jersey-based team was led by Investment Funds and Corporate partner Dilmun Leach, supported by senior counsel Sarah Townsend and senior associate Ellen Jarvis, with Regulatory and Risk Advisory senior associate Metumo Shilongo also advising.
“We are delighted to have acted on this significant transaction and to see Backed’s partnership with Kraken go from strength to strength,” said Mr Leach. “This deal is a positive development for Jersey’s fintech sector and reinforces the jurisdiction’s reputation for innovation in digital assets.”
Roberto Klein, co-founder of Backed, added: “We are really excited about the future as we join forces with Kraken. As always, the Walkers team provided us with excellent legal support, helping our business as it enters this next stage of growth.”