U.S. crypto exchange Kraken has acquired proprietary trading platform Breakout to enhance its services ahead of a planned public offering. The acquisition aims to provide traders with access to up to $200,000 in notional capital, allowing them to retain up to 90% of profits. Kraken's co-CEO, Arjun Sethi, emphasized that the acquisition is about allocating capital based on demonstrated skill rather than merely access to capital. Breakout enables traders to use five times leverage on Bitcoin and Ethereum contracts, with an evaluation process to assess trading performance. This move aligns with Kraken's strategy to offer innovative, performance-based products and integrate Breakout into its Kraken Pro platform. Additionally, Kraken has plans to go public, potentially making it the second U.S.-based crypto exchange to do so after Coinbase. Regulatory actions against other firms signal a friendlier environment for digital assets, which may benefit Kraken's public offering plans.

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