Payward, the parent company of cryptocurrency exchange Kraken, has agreed to acquire Hong Kong-based payments infrastructure firm Reap Technologies for up to $600 million, marking one of the largest strategic bets yet on stablecoin-based business payments.
The deal, announced Thursday, will be paid in a mix of cash and Payward stock, valuing Payward’s equity at $20 billion. It is expected to close in the second half of 2026, pending customary regulatory approvals. Reap will continue to operate as a standalone platform following the acquisition.
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Strategic expansion beyond trading
The acquisition is designed to bolster Payward Services, a business-to-business (B2B) infrastructure platform launched in March 2026. Payward Services allows companies to integrate trading, payments, funding, and digital asset services through a single system. Adding Reap extends that platform into global card issuance and cross-border payments, enabling partners to embed stablecoin treasury services alongside existing Kraken capabilities.
Payward co-CEO Arjun Sethi described Reap as the payments layer for what comes next, noting that it connects card networks, banking rails, and blockchains on a single API, settling in stablecoins.
Asia as a growth priority
Founded in 2018 by Daren Guo, a former Stripe executive, and ex-investment banker Kevin Kang, Reap specializes in connecting traditional financial systems with digital assets for cross-border money flows. The company has built significant traction across Asia, which Sethi identified as the fastest-growing market for Payward outside Europe, both in revenue and assets on platform.
This is Payward’s first infrastructure acquisition in Asia and one of its largest transactions to date. The deal follows Payward’s recent acquisitions of Bitnomial exchange, futures broker NinjaTrader, and tokenization firm Backed, signaling a sustained strategy of building out a comprehensive financial services ecosystem through targeted purchases.
Why this matters for the crypto payments space
The acquisition reflects a broader industry shift as crypto companies move beyond pure trading services into payments infrastructure and stablecoin-related products. Stablecoins are gaining traction among fintech firms and traditional businesses seeking faster, cheaper cross-border settlement. By integrating Reap’s card issuance and payment rails, Payward positions itself to compete directly with traditional payment processors and fintech platforms that are also exploring blockchain-based settlement.
For businesses using Payward Services, the combined platform could reduce the complexity of managing multiple payment and treasury systems, offering a unified gateway for fiat and stablecoin transactions.
Conclusion
The Payward-Reap deal underscores the growing convergence of traditional payments infrastructure and digital assets, particularly in the Asia-Pacific region. As regulatory frameworks around stablecoins continue to evolve, the acquisition positions Payward to serve a expanding base of corporate clients seeking efficient, blockchain-enabled payment solutions. The transaction remains subject to regulatory approvals, with completion expected later this year.
FAQs
Q1: What does Reap Technologies do?
Reap provides payment infrastructure that connects traditional banking systems with digital assets, enabling card issuance, cross-border payments, and stablecoin treasury services through a single API.
Q2: How much is Payward paying for Reap?
Payward agreed to acquire Reap for up to $600 million, paid in a mix of cash and Payward stock. The transaction values Payward’s equity at $20 billion.
Q3: When will the deal close?
The acquisition is expected to close in the second half of 2026, subject to customary regulatory approvals. Reap will continue operating as a standalone platform in the interim.
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