The Currency analytics
By Pankaj K
Kraken announced in September 2025 that it had acquired Breakout, marking the exchange's first entry into the proprietary trading sector.
Co-CEO Arjun Sethi of Kraken emphasized, “Breakout provides a method to allocate capital based on skill rather than capital access,” reflecting a shift toward performance-based…
The prop trading industry has seen significant growth. Global search interest for “prop trading” surged over 5,000% from 2020 to 2025, with industry analysts valuing the market…
Kraken’s move follows its acquisitions of NinjaTrader and Capitalise.ai, underscoring a strategic effort to engage both retail and professional trading markets.
The deal challenges established players like FTMO, which has expanded its crypto offerings, including 22 new pairs, to maintain its competitive edge.
Meanwhile, new firms are exploring innovative approaches to prop trading. Fondeo.xyz, for example, combines AI coaching with trader funding to address gaps in trader development,…
For now, the AI integration in trading continues to grow, with the market expected to expand from $24.53 billion in 2025 to $40.47 billion by 2029.
This acquisition presents both opportunities and challenges for traders. While institutional backing brings improved infrastructure and security, the competition in prop trading…
Looking ahead, further consolidation in the industry is anticipated. Smaller firms may struggle against larger, resource-rich exchange-backed platforms, while those offering…
The interest in prop trading shows no signs of waning. Traders benefit from enhanced options and infrastructure, while the industry continues to transition into a recognized…
The transition from retail to institutional asset class is ongoing.
In December 2025, Kraken reported a 25% increase in new user sign-ups following the Breakout acquisition, indicating heightened interest from traders eager to leverage the…
FTMO, a key competitor, announced plans to enhance its evaluation criteria in early 2026, aiming to maintain its reputation for rigor in the face of new competition from…
Meanwhile, Fondeo.xyz has secured a partnership with a major AI firm to further develop its coaching systems, as revealed in a January 2026 press release.
Industry analysts from Deloitte have noted that the entry of major exchanges into prop trading could lead to increased scrutiny from financial regulators, although no specific…