Kraken's move into U.S. stock trading represents a perfect example of the "rebundling" phase in financial services that you've highlighted. This evolution has followed a fascinating pattern over the past decade:
Phase 1: Unbundling (2010s)
Rather than attempting to replace traditional banks entirely, fintech startups focused on excelling at specific financial functions:
- Payments: Companies like Klarna revolutionized checkout experiences
- Social finance: Splitwise made splitting expenses with friends frictionless
- Youth banking: GoHenry created financial education tools specifically for children
- Micro-investing: Acorns turned investing into small, daily actions
These companies succeeded by creating habit-forming experiences around singular use cases, rather than trying to be comprehensive financial institutions.
Phase 2: Rebundling (Current)
Now we're seeing the "rebundling" phase where platforms are bringing these specialized services back together. Kraken's expansion is a textbook example:
- Starting with cryptocurrency expertise
- Adding U.S. stock and ETF trading
- Creating an ecosystem where users can manage crypto, stocks, cash, and stablecoins in one place
- Planning international expansion to make this integrated experience global
The key difference from traditional banking is that these platforms aren't just adding features for the sake of comprehensiveness. They're thoughtfully curating specialized services that work exceptionally well together, focused on user experience rather than simply checking boxes.
Kraken's approach shows this philosophy: commission-free trading, fractional shares, and seamless movement between asset classes – all designed around how people actually want to manage their investments across traditional and digital assets.
As Arjun Sethi, Kraken's Co-CEO, notes: "The future of trading is borderless, always on and built on crypto rails." This vision suggests financial services are evolving toward an integrated experience that transcends traditional boundaries between asset classes and financial activities.
