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Point of Focus
- Kraken launched xStocks vaults offering estimated net yields of up to 2%.
- Rewards accrue continuously and are paid in the same xStock deposited.
- The vaults use DeFi lending strategies managed through Veda and Sentora.
Kraken has launched new on-chain yield vaults for tokenized stocks and exchange-traded funds, allowing eligible investors to earn additional returns on SPYx, QQQx and NVDAx without giving up their exposure to the underlying assets.
The exchange is initially advertising estimated net annual percentage yields (APYs) of 2% for SPYx and QQQx and 1.8% for NVDAx. SPYx tracks the SPDR S&P 500 ETF Trust, QQQx represents the Invesco QQQ Trust, while NVDAx provides tokenized exposure to Nvidia shares.
Rewards accrue continuously, are paid in the same xStock deposited and are automatically compounded into the investor’s vault balance.
“Every xStocks position sitting untouched is capital not working as hard as it should,” Kraken Pro head Darius Tabatabai said.
Kraken takes 25% cut of vault earnings
Kraken charges a 25% performance fee on earnings generated by the vaults, although the APYs displayed to customers are already net of this charge.
The exchange does not charge additional fees for allocating or withdrawing assets, while deposits and withdrawals on its Ink network do not incur gas fees.
Your xStocks can now earn rewards. @xStocksFi Vaults are live on Kraken.
Holding xStocks of the S&P500, Nasdaq-100, or NVIDIA? Deposit in a vault and earn up to 2% APY, while you stay fully invested.
Explore Vaults → https://t.co/bkLaKumVvX pic.twitter.com/mSxoTyoMXu
— Kraken (@krakenfx) September 14, 2026
The initial advertised rates are estimates, however, with future yields set to vary according to borrowing demand across the underlying lending markets.
Customers can start with as little as 0.001 of an eligible xStock and request a withdrawal at any time, although assets are subject to a three-day waiting period before returning to their Kraken balance.
The vaults expand Kraken’s push to make tokenized equities usable beyond simply trading their underlying price movements.
xStocks enter DeFi lending markets
Behind the scenes, xStocks deposited into the vaults are transferred to a non-custodial embedded wallet on Kraken’s Ink network before being wrapped and placed into infrastructure provided by Veda.
Sentora serves as the vault risk manager. The xStocks are supplied as collateral to lending protocols, allowing stablecoins to be borrowed against them and deployed into yield-generating DeFi strategies.
Growing at unparalleled speed.
xStocks has surpassed $800M in assets under management across tokenized stocks, ETFs and IPOs.
None of this happens alone, thank you to all the users who choose xStocks and partners for building with us.
Trillions left to tokenize. pic.twitter.com/MRKv53HBAB
— xStocks (@xStocksFi) September 11, 2026
Returns are subsequently converted back into the original xStock and automatically reinvested.
Kraken said the structure allows investors to access DeFi strategies without manually managing wallets, bridges or individual protocols.
However, earning additional yield introduces risks beyond simply holding the tokenized asset. Kraken warns that the strategies involve leverage and expose investors to potential liquidations, smart-contract vulnerabilities, bad debt, liquidity shortages and cross-chain risks. Returns and principal are not guaranteed.
US and UK investors remain excluded
The new vaults are available to eligible customers in the European Economic Area and other supported jurisdictions, but investors in the US, UK, Canada, Australia and UAE are excluded.
The geographical restrictions highlight the regulatory challenges surrounding tokenized equities.
Kraken describes xStocks as 1:1-backed tokenized representations of traditional stocks and ETFs.
However, holding an xStock is not equivalent to owning the corresponding security through a conventional broker and does not provide traditional shareholder rights such as voting rights.
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