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Payward, the parent company of cryptocurrency exchange Kraken, reported total platform margin of $487 million for the third quarter of 2026, according to Bitcoinist. The figure represents a 12% decline compared to the same period in 2025, though it marks a 12% increase from the previous quarter.
Earlier reporting: Payward Acquires Undisclosed AAVE Stake Through Secondary Markets.
The company uses total platform margin as its primary revenue metric, a calculation that deducts trading costs and staking rewards paid to customers. This metric differs from adjusted revenue, which Payward no longer highlights as its top-line indicator. Adjusted earnings recovered in the third quarter alongside a pickup in trading activity.
Revenue Diversification Strategy
The financial results coincide with an aggressive expansion beyond core crypto trading. Payward is developing business lines in banking, asset management, and Payward Services, a division that provides financial infrastructure to other businesses. The strategy extends into traditional futures, equities, tokenized stocks, payments, custody, and lending. Artificial intelligence has been identified as a fifth business pillar for the company.
Income linked to client assets and access to products, data, and services accounted for 52% of total platform margin in the third quarter of 2026. This share was 46% during the same period last year, indicating a gradual shift in revenue composition toward non-trading services. Payward plans to develop a personal finance agent and investment funds connected to its xStocks tokenized equities platform.
Industry Context and Partnerships
The revenue decline at Payward mirrors broader trends in the cryptocurrency sector. Coinbase reported a 35% year-over-year drop in third-quarter revenue. Gemini Space Station recorded a 19% decline in revenue for the same period, with trading volumes falling 73%.
Payward has engaged in several high-profile discussions and transactions during this period. In November, a fund affiliated with Payward and its clients purchased an undisclosed amount of AAVE tokens through secondary-market transactions. This investment followed earlier discussions between Payward and Aave about potential cooperation. The company also reportedly held discussions with Wells Fargo about providing liquidity for cryptocurrency trading. Separate talks with BNY focused on a potential financial infrastructure partnership involving digital assets, custody, wealth management, trading, and payments.
Source: Bitcoinist
