Payward, the parent company of crypto exchange Kraken, has signed a definitive agreement to acquire Saldo Finance Oy, the Finnish holding company that owns Lithuania-based Saldo Bank UAB. The deal, announced October 14, would hand Payward a full European Union banking license and let it offer yield-bearing deposits, lending, card issuance, and SEPA payments to clients across the bloc.
Terms of the transaction were not disclosed. Payward said the acquisition is subject to customary closing conditions, including regulatory approvals, and is expected to close in 2027.
An EU Banking License for Kraken’s Parent
Payward framed the purchase as the next step in building Payward Banking, the money layer of its financial infrastructure platform. The business has already originated more than $2 billion in loans and holds a Federal Reserve limited-purpose master account and an electronic money institution license granted by the Central Bank of Ireland. A full EU banking license extends that stack into Europe’s largest regulated market.
“A regulated EU bank is the piece that lets us serve European clients the way a primary financial institution should,” Arjun Sethi, Payward’s co-CEO, said in the release. “We are starting in the EU, and the ambition is global.”
Saldo Bank’s Five-Market Footprint
Saldo Bank is a digital-first specialized bank licensed by the European Central Bank and regulated by the Bank of Lithuania. It serves customers in Lithuania, Finland, Sweden, and Germany, and holds a passport to operate in the Netherlands. Retail term deposits are available in every one of its markets, while lending is targeted: consumer loans in Lithuania, Finland, and Sweden, and secured and unsecured SME loans in Lithuania and Finland.
The bank’s credit card is already live in Finland and is expected to launch in Sweden in 2027. It also provides full SEPA payments access and embedded lending to other fintech companies in Finland and Germany.
Why the Deal Matters
The acquisition continues a busy stretch for Payward. Kraken secured full VARA approval to launch crypto services in the UAE this month, and last week Wells Fargo was reported to be in talks with Payward to supply crypto trading liquidity. A full EU banking license would place Kraken’s parent among the few crypto firms positioned to compete directly with traditional lenders in Europe.
Still, nothing changes until regulators sign off. Payward expects the deal to close in 2027, and the company has not disclosed the purchase price or how quickly it can fold Saldo Bank’s deposit and lending products into its existing platform.
