Kraken lets traders use tokenized stocks as collateral for leveraged trades
Kraken now lets eligible non-U.S. clients use select tokenized stocks and ETFs as collateral for futures and margin trading, so users can open leveraged positions without selling their holdings. The launch initially covers 10 assets, including Apple, Nvidia, Tesla, Strategy, SPY, and QQQ. Kraken applies risk-based haircuts to each asset: broad-market ETFs face a 10% haircut, while more volatile names like Strategy and Robinhood face 30% discounts. It also set collateral caps, with ETFs up to $1 million, most individual stocks at $250,000, and tokenized gold and Circle shares at $100,000. The limits and haircuts will be reviewed over time. The feature is available in the EEA for futures and in other eligible jurisdictions outside the bloc for margin. The move follows Kraken’s recent partnership with Maple on onchain institutional lending and reflects broader adoption of tokenized assets as trading collateral.
