Payward, the holding company behind the Kraken exchange, announced an agreement to purchase Lithuania-based Saldo Bank. The transaction, whose financial terms were not disclosed, will provide Payward with a European Union banking licence, allowing it to deliver traditional banking services to its European clientele.
Strategic Rationale
Payward’s co-CEO Arjun Sethi described the move as a way to serve customers “the way a primary financial institution should,” consolidating asset custody, payments and credit under one regulated entity. By owning a bank, Payward aims to broaden its product suite beyond cryptocurrency trading into interest-bearing deposits, consumer and business loans, card offerings and euro-denominated payments.
Saldo Bank Profile
Saldo Bank operates under licences in Lithuania, Finland, Sweden and Germany and holds a passport to serve the Netherlands. At the close of 2025, the bank reported total assets of €163.9 million, a 22.7% increase from the prior year, reflecting steady growth in its deposit and loan portfolios.
Existing Banking Infrastructure
Payward already runs a banking arm that has originated over $2 billion in loans. In the United States, the firm has applied for a national trust bank charter and maintains limited access to the Federal Reserve’s payment system. It also possesses an electronic money institution licence in Ireland, positioning it to integrate cross-border services once the EU acquisition is finalized.
Regulatory Path and Timeline
The purchase remains subject to approval from European regulators. If cleared, the deal is slated to close in 2027, making Payward the first cryptocurrency-focused company to own a bank within the European Union, according to reports.
Why it matters
The acquisition marks a significant step for crypto firms seeking parity with traditional financial institutions. By securing a full-service banking licence, Payward can offer regulated deposit products and credit facilities, potentially attracting users who prefer a single provider for both digital and fiat assets. The move also signals increasing convergence between the crypto sector and conventional banking, prompting regulators to evaluate how such hybrid models fit within existing supervisory frameworks.
