Institutional investors and wealthy clients are increasingly looking for ways to generate returns for digital assets held in a safe, regulated environment. Through the launch of the USDG Rewards program, Kraken Custody is currently offering rewards for USDG, a Stablecoin built on the Ethereum platform.

Registration is seamless. Clients who hold or pledge USDG will be automatically included in the program once their address is registered. Remuneration is distributed monthly and directly detained, helping clients earn returns without disrupting existing workflows. All payments will undergo compliance and fraud screening and maintain regulatory standards required by the agency.

Protected under Kraken Financial’s SPDI framework

The USDG Rewards program operates within Kraken Custody’s eligible custody model backed by Kraken Financial’s Wyoming Special Purpose Deposit Agency (SPDI) charter. This structure provides complete asset segregation, operational transparency and regulatory oversight. This provides institutional clients with a custody solution that meets the highest compliance standards.

Currently supports Sol and XRP custody

In addition to launching rewards at USDG, Kraken Custody has now supported custody by Sol and XRP. These assets are not part of the compensation program, but are fully supported for secure, isolated storage within a qualified custody platform.

With this expansion, the institution and HNWI will provide wider access to high-demand assets with the same custody protection expected across the portfolio.

Recent strengthening custody outcomes

Kraken Custody continues to evolve to meet the complex needs of our institutional and private clients. Recent enhancements are designed to unlock new yield opportunities, simplify operations, and provide personalized support for strategic digital asset management.

Enhanced HNWI support

• Secure custody infrastructure tailored to private clients
• A VIP service model to simplify onboarding and ongoing management
• Integrated support for well teams and multi-center structures

Tao via qualified custody

• Access on-chain staking rewards without compromising regulatory alignment
• Secure participation in route networks via Custody-Native Staking
• Minimize operational overhead with managed workflows
• A scalable, compliant solution for institutions seeking yields on tokenized infrastructure assets

Institutional custody with built-in reward opportunities

Kraken Custody combines secure infrastructure, regulatory clarity and integrated reward opportunities to help clients acquire more value from their digital asset strategies without compromising on compliance or control.

We’re thrilled to introduce USDG Rewards, Kraken’s newest rewards program that empowers you to maximize the value of your assets effortlessly. Designed with simplicity and accessibility in mind, USDG Rewards helps you earn up to 4%+ APR – automatically – on your USDG (a stablecoin pegged 1:1 to the U.S. dollar) holdings.¹

With no activation required, weekly payouts and complete flexibility, USDG Rewards redefines what it means to earn with stablecoins, providing a smarter and more rewarding way to grow your portfolio – whether you’re an experienced trader or just starting your crypto journey.

What is USDG? 

At the heart of our revamped rewards program is USDG, an ERC-20 and Solana (SPL) token developed and issued by Paxos, in partnership with industry-leading players like Kraken, Robinhood and Anchorage. Learn more about Kraken’s Partnership in the Global Dollar Network here.

USDG is revolutionizing the way traders, investors and savers interact with stablecoins, combining the reliability of U.S. dollar-backed reserves with the efficiency and transparency of blockchain technology. 

What is USDG Rewards?

USDG Rewards is a program that allows you to earn rewards on the USDG you hold in your Kraken account. Simply buy, convert or transfer USDG into your Kraken account and you start earning rewards automatically.

How USDG Rewards benefits you

• Start earning immediately: Reward accrual begins as soon as USDG is in your account – no activation needed.
• Fee-free conversion: 1:1 conversion USD to USDG fee-free, ensuring every dollar works harder for you.
• Weekly payouts: See your balance grow consistently with rewards distributed directly to your account every week.
• Total flexibility: Trade or withdraw your USDG anytime, while always earning rewards while it remains in your account.

What are the ways I can earn with USDG Rewards?

1. Automatically earn 2% APR – with no fees – on all USDG held in your Kraken account.
2. Double those rewards to up to 4%+ APR with a $4.99/month subscription to Kraken+, which also gives you up to $10k in Instant transaction fee-free trading/month.²

At up to 4%+ APR, just $1,500 held in your Kraken account for one year would return $60 – fully paying for your entire year’s Kraken+ subscription – including the up-to-$10k in free Instant transaction trading every month.

How to get started with USDG Rewards

1. Be verified at Intermediate or Pro level
2. Reside in a participating country (see program eligibility details here)
3. Hold USDG in your account — it’s that simple!

To make earning even easier, we’re scrapping trading fees on USD-to-USDG conversions on our platform, so users can seamlessly move from fiat to stablecoins and start earning rewards immediately. That’s all you have to do to earn 2% APR on your USDG.

Stay tuned for more updates as we continue to innovate and improve your financial journey.

At Kraken, we are committed to providing reliable, transparent and innovative Stablecoin solutions. That’s why we are proud to work with Paxos, Robinhood and Anchorage. Global Dollar Network To bring you USDG.

Backed by Paxos, the global leader of Stablecoins, USDG holds confidence in Stablecoins over $160 billion published since 2018. USDG is designed to be a reliable, transparent stub coin for trading and holding value, bringing seamless access to digital dollars for users around the world.

What is Stablecoins?

Stablecoins bridges traditional finance with blockchain technology, providing Fiat stability with crypto efficiency. It pins 1:1 to US dollars, providing a safe and reliable way to trade, trade and store value in the digital economy. This combination makes Stablecoins a good option for global payments, transactions and protection funds from market volatility.

Why USDG?

Regulation and transparency

USDG is fully supported by cash and cash equivalents of separate accounts audited monthly. Paxos is regulated by the financial authorities in Singapore, one of the world’s top financial authorities, and ensures the strongest consumer protection.

1:1 peg stability

USDG is fully supported by cash and cash equivalents in separate accounts, ensuring that all tokens maintain a 1:1 peg in US dollars.

Multi-Chain Global Accessibility

Built on the Ethereum (ERC-20) and the Solana blockchain, USDG combines US dollar stability with the speed and transparency of blockchain technology. This global accessibility allows users around the world to leverage trustworthy digital assets for a variety of purposes, making it easy for users around the world to trade and hold them.

How to get started with USDG

Ready to start using USDG? * Follow these simple steps to get started in a few minutes.

1. Log in to your Kraken account: (or sign up if new).
2. Deposit USD or buy USDG directly
3. Convert USD to USDG

Usually, whenever you use Stablecoins, you use USDG.