Wells Fargo in talks with Payward over crypto trading liquidity
Wells Fargo is discussing crypto trading liquidity with Kraken parent Payward, a potential link to outside infrastructure as the bank expands its digital asset activity.
The Crypto News Week Editors2 min read
$100 million was the size of Nasdaq’s September investment in Payward, which is now in talks with Wells Fargo to supply crypto-trading liquidity, according to CoinDesk’s October 7 report.
If a deal happens, Wells Fargo could draw on a crypto firm’s trading liquidity as it develops its digital asset services.
What would Payward provide to Wells Fargo?
Payward, the parent company of crypto exchange Kraken, could supply liquidity for trading in crypto assets. CoinDesk said two people with direct knowledge of the discussions described the potential arrangement; they spoke anonymously because the talks are private.
A liquidity provider helps connect a business to trading venues and execute orders. That can give a bank access to crypto trading infrastructure without building every part of it itself. CoinDesk reported that Kraken offers banks technology to integrate crypto trading into their platforms, but it did not say whether that technology is part of these talks.
Is there a deal, and what are its terms?
No agreement has been announced. The discussions are ongoing and may not result in a deal, and neither company commented to CoinDesk.
The report did not identify which crypto assets would be covered, how trades would be routed, or when an arrangement might begin. It also did not disclose commercial terms. So you should read this as a possible liquidity relationship, not a confirmed launch of crypto trading at Wells Fargo.
Why are Wells Fargo and Payward already connected?
Wells Fargo served as Nasdaq’s exclusive capital markets adviser on Nasdaq’s September agreement to invest $100 million in Payward and deepen work on tokenized equities and market surveillance. That advisory role is a separate relationship from the liquidity discussions.
The bank already offers spot bitcoin exchange-traded funds to eligible wealth clients and has backed crypto compliance firm Elliptic and trading technology provider Talos, according to CoinDesk. It has also announced plans for blockchain-based deposits and joined a consortium developing a dollar stablecoin. The reported talks would add another possible connection between the bank and crypto market infrastructure, but the scope remains unknown.
References
- CoinDesk’s October 7 report — coindesk.com