Payward, known as the parent company of Kraken, has agreed to acquire the wallet-as-a-service unit of Magic Labs to enhance its blockchain infrastructure amid rising demand for onchain financial solutions. This acquisition will bring Magic Labs’ non-custodial wallet technology into Payward’s B2B platform, Payward Services, which supports crypto trading, custody, tokenized assets, derivatives, and payment services.
The deal aims to create a unified platform where businesses can generate digital assets without depending on multiple external providers. It is expected to close within weeks, pending usual regulatory steps, although financial details remain under wraps.
Magic Labs’ technology is notable for powering over 60 million non-custodial wallets, servicing 200,000 developers, and facilitating more than $10 billion in stablecoin transactions across blockchain applications. Its framework includes cutting-edge TEE-based signing, embedded wallet features, and a developer SDK designed to scale wallet creation efficiently.
By embedding wallet services directly into applications, Payward plans to simplify user interactions by eliminating the need for separate wallet downloads. This integration meets growing demand from fintech, gaming, payment, and tokenized asset sectors for smooth, self-custody wallet solutions.
Mark Greenberg, Payward’s CCO, emphasized that embedded wallets are becoming essential infrastructure for blockchain products. He explained that Magic Labs’ tech will allow Payward to closely connect its exchanges, custody, and wallet offerings into a single streamlined platform.
This move reflects intensifying competition in crypto-infrastructure as companies race to offer all-in-one platforms that handle liquidity, custody, compliance, settlements, and digital asset services. The trend toward tokenization and growing stablecoin use highlight the need for integrated onchain solutions with solid wallet support.
This content is for informational purposes and not financial advice.
