Kraken launches Ink blockchain.

Ink is a layer-2 on Optimism’s Superchain. 

The blockchain will have no native token. 

In decentralized finance (DeFi), there is an increasing push for more user-friendly solutions. At the same time, centralized exchanges are looking for ways to bridge to decentralized services. After Binance and Coinbase launched their own blockchains, another exchange joined in the race. 

Kraken, one of the oldest crypto exchanges, became the latest exchange to launch its own blockchain. Its blockchain, Ink, will be built on Optimism’s Superchain. It will also help scale the Ethereum Network while leveraging Ethereum’s security. 

How Kraken’s Ink Will Work

Following similar moves by Binance and Coinbase, Kraken officially entered blockchain development. On Thursday, October 24, Kraken announced the launch of Ink, a layer-2 blockchain built on Optimism’s Superchain. Its goal will be to provide a seamless user experience and a bridge between Kraken’s services and decentralized applications.  Sponsored

Kraken announced Ink’s testnet launch in Q4 2024, while it expects the mainnet release in early 2025. Ink will be built using OP Stack, an open-source codebase by Optimism. This means that Ink will join Ethereum’s ecosystem as part of Optimism’s Superchain. 

As part of Ethereum’s ecosystem, Ink will help scale the largest DeFi network. At the same time, Ink will benefit from Ethereum’s security, ensuring that the chain is decentralized and resistant to attacks. In the early stages, however, Kraken will act as Ink’s sequencer, validating transactions on the network. Later, Kraken hopes to decentralize this process, opening it up to other validators. 

How Ink Differs From Base and BNB

Both Binance and Coinbase released their own layer-2 networks. Binance released BNB, built on top of Binance Smart Chain, while Coinbase released Base, built on Ethereum. Still, Ink will be different in several ways.  

Unlike Binance’s BNB and Coinbase’s Base, Ink will not release its own token. Instead, the chain will focus on building robust DeFi infrastructure and added functionality for Kraken’s exchange. This way, Kraken avoids dealing with the complexity of tokenomics and the risk that a volatile token might hurt its reputation. 

On the Flipside

Ethereum’s ecosystem has long struggled with scalability. However, recent data suggests that layer-2 chains are cannibalizing Ethereum’s traffic, negatively impacting its price. 

Layer-2 blockchains are a crowded market, with players like Base, Optimism, Arbitrum, and Polygon already established in their ecosystem. 

Why This Matters

Kraken’s launch of Ink represents a major step for centralized exchanges toward decentralized services. This way, exchanges are making DeFi services more accessible to average users. 

Read more about Kraken’s role in the crypto sector: Kraken Fights for the Industry in Its Lawsuit Against SEC 

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