Payward, the parent company of the crypto exchange Kraken, reported adjusted revenue of $508 million for the second quarter of 2026, a 17% increase from the same period a year earlier. The results came even as overall platform transaction volume fell and profitability weakened significantly.

Adjusted pretax earnings, also described as adjusted EBITDA in some disclosures, stood at $23 million. That figure represented a 71% decline from $79.7 million in the prior-year quarter. The company remained profitable on an adjusted basis despite the sharp drop.

Trading Volumes Fall While User Base Expands

Total transaction volume across Payward’s platform declined 13% year over year to $310 billion. The drop was attributed largely to weaker crypto spot trading activity across the industry. At the same time, funded accounts rose 42% to 6.6 million. Assets on the platform were reported at $40 billion.

Asset-based and other revenue accounted for 60% of total revenue in the quarter, up from 55% a year earlier. Growth in traditional futures, equities and tokenized equities helped offset the softer crypto spot business. Payward also stated that it gained spot market share for a third consecutive quarter.

Acquisition Drive Continues

Over roughly 18 months, Payward has pursued an extensive series of acquisitions totaling about $2.65 billion in disclosed deal value. The largest was the $1.5 billion purchase of futures broker NinjaTrader in March 2025. Later agreements included derivatives platform Bitnomial for up to $550 million and stablecoin payments firm Reap for up to $600 million. Additional deals involved Backed, token management platform Magna and the wallet business of Magic Labs, with some terms undisclosed.

These moves form part of a broader strategy to expand beyond pure crypto spot trading into equities, tokenized assets, derivatives, payments and related infrastructure. The company has pointed to this diversification as a source of more resilient revenue streams.

Comparison With Public Peer

In the same quarter, publicly listed rival Coinbase reported revenue of $1.22 billion, an 18% decline year over year, and a net loss of $359 million. Much of Coinbase’s loss was linked to declines in the value of its crypto holdings. The contrasting top-line trends between the two firms occurred against a backdrop of softer trading conditions industry-wide.

IPO Path and Limited Disclosure

Payward remains a private company. It confidentially filed for a U.S. listing in November 2025 and later raised $800 million at a $20 billion valuation, with participation from investors including Jane Street and DRW Venture Capital. The company paused the listing process in March 2026 and reduced headcount by 150 positions in May while continuing its acquisition activity.

As a private firm, Payward provides limited financial detail. Disclosures rely on adjusted figures and do not break out integration costs, cash burn or the precise contribution of acquired businesses versus organic growth. Fuller visibility is expected only if and when the company files a public registration statement.

The second-quarter results show revenue growth and user expansion occurring alongside lower trading volumes and reduced profitability, against the backdrop of continued investment in new business lines and acquisitions.