Kraken — US-regulated exchange, audit-grade accounting

Kraken is the institutional-leaning US exchange — spot, margin, futures, native staking. We integrate cleanly via the read-only API.

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Kraken serves US-regulated institutions, prosumers, and active traders. The product surface includes Spot, Margin, Futures (Kraken Futures), and native staking (Kraken Earn). The Wag3s integration ingests all of them under a single read-only API key and reconciles withdrawals / deposits to on-chain transactions.

What the Kraken integration does

Multi-product ingest

Spot, Margin, Futures, Earn — one API key.

Realized P&L per trade

FIFO / LIFO / HIFO applied.

Staking-reward classification

Kraken Earn rewards booked as ordinary income on receipt.

The connection in 4 steps

01

Create a read-only API key on Kraken

In Kraken Security settings, add a new API key with only Query Funds, Query Open Orders, Query Closed Orders, and Query Ledger Entries permissions. Do not enable any Create, Cancel, or Withdraw permissions.

02

Connect to Wag3s

Enter your Kraken API key and private key in the Wag3s exchange integrations panel. We discover Spot, Futures, Margin, and Earn sub-accounts automatically.

03

All product lines ingested and classified

Spot trades, Futures (Kraken Futures) closes, Margin activity, and Kraken Earn staking rewards are ingested and classified separately. Per-position realized P&L is computed for Futures using the Kraken settlement price.

04

Staking rewards and on-chain reconciliation

Kraken Earn rewards (ETH2, DOT, ADA, SOL, and others) are booked as ordinary income at daily spot price on receipt. Crypto withdrawals are matched to on-chain transactions.

Common configurations

US institutional trading desk on Kraken

Regulated trading desk uses Kraken Spot and Kraken Futures for US-regulated execution. Monthly accounting requires realized P&L from spot trades, funding rate income/expense from futures, and staking rewards booked separately. Wag3s handles all three product lines and posts the monthly JE to NetSuite.

Web3 company with ETH2 staking on Kraken

Company staked ETH via Kraken's native staking product and receives regular ETH2 staking rewards. The finance team needs to book income on receipt (IRS Rev. Rul. 2023-14 aligned) and track cost-basis of the reward lots. Wag3s classifies each reward as ordinary income and adds it to the ETH cost-basis lot file.

Kraken integration questions

Is the API key read-only?

Yes — query funds, query trades, query ledgers. Trade and withdraw scopes are not requested.

Are Kraken staking rewards (ETH2, DOT) automatically classified as income?

Yes. Kraken Earn rewards for ETH2, DOT, ADA, SOL, and other supported assets are ingested via the Kraken Ledger API and automatically classified as staking income on the receipt date. Each distribution is booked at the asset's fair market value on that date and added to the cost-basis lot file. This is consistent with IRS Rev. Rul. 2023-14 and similar receipt-basis guidance in other jurisdictions.

Does Wag3s support both Kraken Pro and Kraken standard APIs?

Yes. Kraken standard and Kraken Advanced Trade (formerly Kraken Pro) share the same API surface — the same API key grants access to spot, margin, Futures, and Earn data across both product tiers. Wag3s uses the unified Kraken API with a single read-only key, so you do not need separate configurations for each product line.

Connect Kraken in minutes

Free during Alpha. No credit card. Native sync, audit trail, no spreadsheets.