Payward Expands Enterprise Blockchain Infrastructure with Magic Labs Acquisition
Kraken's parent company integrates embedded wallet technology to strengthen its business-to-business platform, consolidating multiple infrastructure services into a single offering.
Consolidating Infrastructure for Enterprise Clients
Payward, the parent company behind the cryptocurrency exchange Kraken, has agreed to acquire the wallet-as-a-service business of Magic Labs, according to Payward’s announcement. The integration of Magic Labs’ non-custodial wallet technology into Payward Services represents a significant expansion of what the B2B platform can deliver. Previously, businesses seeking to incorporate cryptocurrency functionality needed to work with multiple vendors for different services—trading, custody, tokenized assets, and fiat bridges. This acquisition allows Payward to bundle wallet services directly into its platform, streamlining integration for corporate clients and reducing operational complexity.
Embedded wallets represent an important advancement in blockchain accessibility. Rather than directing users to standalone wallet applications, businesses can now offer self-custodied wallet experiences directly within their own applications. This approach preserves user custody—a core principle of decentralized finance—while simplifying the user experience compared to managing multiple applications.
Demonstrated Scale and Developer Adoption
Magic Labs has demonstrated substantial reach in the developer ecosystem. The infrastructure underlying the platform has powered the creation of over 60 million non-custodial wallets deployed across a developer base exceeding 200,000 builders. Additionally, the platform has facilitated over $10 billion in stablecoin transactions, highlighting the real economic activity flowing through embedded wallet infrastructure. These metrics underscore market demand for wallet infrastructure that doesn’t require users to abandon the applications they already use.
Strategic Positioning in Enterprise Markets
The transaction is expected to close within the coming weeks, pending standard closing conditions. Following the acquisition, Magic Labs will shift its focus to Newton, a platform designed to help users and applications authorize and verify onchain transactions without depending on centralized intermediaries. For the broader cryptocurrency market, this consolidation signals growing confidence in enterprise blockchain adoption and maturity within the infrastructure layer—a critical foundation for continued institutional participation in onchain systems. As demand for comprehensive blockchain infrastructure continues to grow, providers positioning themselves with end-to-end capabilities stand to capture significant market share.
Source: Payward, via Cointelegraph. Not financial advice.