Wells Fargo (WFC) stock closed at $80.26, down 1.53%, and slipped a further 0.10% in after-hours trading, as reports linked the bank to discussions with Payward, the parent company of crypto exchange Kraken. The reported talks could expand Wells Fargo's digital asset operations by drawing on external crypto trading infrastructure. A completed arrangement would mark another step in folding digital asset services into conventional banking at one of the largest banks in the United States.

Wells Fargo Explores Liquidity Deal With Kraken's Parent

Payward is discussing a potential agreement to provide Wells Fargo with liquidity for digital asset trading. Under the proposed arrangement, Payward would help the bank access crypto markets and execute client transactions. However, the companies have not announced any final agreement regarding the discussions.

The negotiations fit a broader pattern in which crypto exchanges supply the infrastructure that allows traditional banks to offer digital asset products without building trading systems in-house. Payward already delivers liquidity, custody, settlement, payments, and trading technology through its Payward Services division. An agreement with Wells Fargo would extend that role, positioning Payward as an infrastructure provider to established financial institutions.

The talks follow Wells Fargo's wider push into digital assets and blockchain-based financial services. The bank already gives eligible wealth management clients access to spot Bitcoin exchange-traded funds — a product category U.S. regulators approved for listing in January 2024 — and has supported crypto compliance firm Elliptic as well as institutional trading technology provider Talos.

Payward Broadens Its Bank Partnerships

Payward has sharpened its focus on partnerships with banks, asset managers, fintech companies, and other financial institutions. In September, the company partnered with SoFi, a digital personal finance company, to give customers access to liquidity from Kraken Prime. That agreement also included continuous dollar settlement and supported the listing of SoFiUSD on Kraken.

Earlier this month, Payward entered discussions with BNY Mellon, one of the world's largest custodian banks, over a potential financial infrastructure partnership. Those talks could span custody, trading, wealth management, crypto products, and payment services. Together, the developments show Payward expanding beyond its traditional role as the operator of the Kraken exchange.

Wells Fargo also has a prior connection to Payward through Nasdaq's investment in the crypto company. The bank advised Nasdaq, the exchange operator, on its $100 million investment agreement with Payward in September, a transaction that valued Payward at $21 billion and expanded cooperation around tokenized equities and market surveillance.

Wells Fargo Builds a Wider Digital Asset Footprint

Wells Fargo has continued to develop its digital asset strategy across trading, payments, and blockchain-based banking services. Earlier this year, the bank strengthened its digital assets team by hiring Mark Gracia, a former Citi banker, adding experience as it deepened its involvement with crypto-related financial infrastructure.

The bank has also outlined plans for blockchain-based deposits as financial institutions test faster settlement systems, and it joined a banking consortium working on a dollar-backed stablecoin intended for institutional and commercial payment applications. These projects extend Wells Fargo's blockchain strategy beyond the investment products offered to its wealth management clients.

Regulatory clarity has encouraged deeper ties between banks and established digital asset companies. The GENIUS Act, which created a federal regulatory framework for payment stablecoins, became law in July 2025. A Payward agreement would further connect Wells Fargo with crypto infrastructure as traditional finance broadens its digital asset services, though any deal remains subject to a announcement, and the terms, scope, and timing of a potential arrangement remain undetermined.

Source: Blockonomi