Kraken’s Breakout deal signals institutional arrival of crypto prop trading

[AIcash]

When Kraken acquired proprietary trading firm Breakout in September 2025, it marked a turning point for the crypto industry. The deal made Kraken the first major crypto exchange to enter prop trading directly, combining its institutional-grade infrastructure with Breakout’s evaluation-based funding model.

Kraken co-CEO Arjun Sethi said the acquisition allows the exchange to allocate capital based on proven trading skill rather than personal wealth or connections. The move reflects a broader shift as prop trading evolves from a retail-driven niche into a sector attracting serious institutional capital.

Industry estimates value the prop trading market at $5.8 billion in 2024, with projections reaching $14.5 billion by 2033. Search interest has surged more than 5,000% since 2020, underscoring rapid global adoption.

[nihalsari]

ai coaching for traders sounds cool but let’s be real, most people are still gonna fail