Kraken Strengthens Bitcoin-Based Financial Platform Lombard by Joining Security Consortium

Global cryptocurrency exchange Kraken has strengthened its position as a leader in institutional blockchain operations by joining the Security Consortium of Lombard, a Bitcoin-based financial infrastructure platform. This strategic move underscores Kraken’s commitment to enhancing trust, security, and accessibility within the rapidly evolving Bitcoin decentralized finance (DeFi) ecosystem.

Expanding Lombard's Security Consortium

On October 24, Lombard officially announced Kraken’s inclusion in its Security Consortium, marking a significant milestone in protocol development and institutional-grade blockchain operations. This partnership expands the decentralized validator network governed by Lombard, enhancing overall trust and system security.

The Lombard Security Consortium comprises 15 leading digital asset institutions that collaboratively validate and secure all major activities within the platform’s network. Members include industry giants such as OKX, Galaxy Digital, Digital Currency Group (DCG), Wintermute, Figment, Kiln, Antpool, and F2pool. Kraken’s addition further elevates the network’s credibility, reinforcing its role in shaping institutional blockchain standards.

Kraken’s Robust Blockchain Expertise

Kraken has firmly established itself as a trusted authority in secure blockchain operations, bolstered by strategic investments in infrastructure such as acquiring 'Staked' to improve non-custodial staking capabilities. These advancements solidify Kraken's reputation for providing regulatory-compliant market access and security-driven solutions.

Jacob Phillips, Co-founder of Lombard, emphasized the transformative impact of Kraken joining the consortium:
“Kraken's participation strengthens our mission to redefine Bitcoin capital markets with secure, transparent solutions. Their proven expertise and reputation align seamlessly with Lombard’s goal of enabling institutional clients to safely access Bitcoin through on-chain mechanisms.”

Lombard Ledger: A Unique Layer 1 Blockchain

At the core of Lombard’s platform lies its proprietary Layer 1 blockchain, the Lombard Ledger, which operates using a Proof-of-Authority (PoA) consensus model. Unlike traditional consensus mechanisms, PoA prioritizes security by restricting validator roles to highly reputable institutions, eliminating single points of failure while maintaining efficiency tailored for institutional-grade use cases.

Kraken’s representative reaffirmed the firm’s strategic alignment with Lombard’s vision:
“Our collaboration highlights our commitment to fostering Bitcoin’s potential within decentralized finance. By joining the Lombard Security Consortium, we aim to support market infrastructure that unlocks new possibilities for institutional clients and DeFi applications.”

Driving Bitcoin Institutional Adoption & Innovation

Kraken’s participation in the consortium signifies more than just validator duties—it represents the beginning of a broader partnership aimed at scaling Bitcoin adoption and innovation. Together, the two entities are laying the foundation for transformative developments within Bitcoin-based institutional markets and DeFi applications.

Lombard’s upcoming initiatives include expanding its influence within DeFi markets, enabling institutions to leverage Bitcoin’s capabilities, and providing liquid staking solutions that serve decentralized applications like Aave, Spark, and EigenLayer.

Key Milestones and Token Growth

Lombard’s meteoric rise has been complemented by remarkable achievements, including surpassing $1 billion in total value locked (TVL) within just 92 days of its launch. The platform has also emerged as a leading Bitcoin liquid staking token (LST) provider. Its native token, BARD, gained significant traction after being listed simultaneously on major global crypto exchanges such as Upbit and Bithumb.

Strategic Significance of the Kraken-Lombard Partnership

The collaboration between Kraken and Lombard represents a critical step forward for Bitcoin in institutional finance and decentralized finance. It paves the way for enhanced scalability, accessibility, and security while driving widespread adoption. Lombard is poised to lead the evolution of Bitcoin-based financial systems, with Kraken’s involvement strengthening its capabilities and market footprint.

As Bitcoin continues to bridge the gap between decentralized applications and institutional adoption, the Kraken-Lombard partnership embodies the innovation and strategic cooperation necessary to unlock new opportunities in the blockchain sector.