Kraken adds Stellar USDT0, margin pairs and fixed-rate rewards

Three announcements landed from Kraken on September 3: USDT0 deposits and withdrawals over Stellar, new margin markets for JTO, GRASS and WLFI, and a Fixed Rate Rewards program paying eligible clients up to 6% APY on cash and stablecoins.

The stablecoin rail is already live. Kraken’s primary announcement says clients can move USDT0 over Stellar with settlement in roughly five seconds and typical network transaction fees of only a fraction of a cent. Stellar is described in that document as an open-source blockchain built for payments.

USDT0 is an omnichain version of Tether’s UUSDT$1.00▲0.02%, built on LayerZero’s Omnichain Fungible Token standard, with each unit backed 1:1 by USDT. CoinGecko currently values USDT at $1, meaning the stated backing ratio corresponds to one USDT per USDT0, subject to product terms and network availability. For traders routing stablecoin collateral in or out of the exchange, the Stellar path changes the transfer rail, not the asset’s stated backing.

Kraken’s announcement also leaves open when USDT0 trading through the Kraken App and Instant Buy will receive sufficient liquidity.

The exchange is also adding margin-enabled assets and pairs. The exchange’s margin announcement says Jito (JTO), Grass (GRASS) and World Liberty Financial (WLFI) are now available for margin trading, pushing Kraken Pro above 250 margin-enabled markets. Short selling is specifically available on WLFI/USD.

Each token carries different protocol exposure for borrowed-position traders. JTO is the governance token of Jito, a liquid staking and MEV protocol on Solana. GRASS is the token of a decentralized network that lets users share unused internet bandwidth in exchange for rewards. WLFI is the governance token of World Liberty Financial, a decentralized finance platform.

The third move targets idle balances. Kraken’s Fixed Rate Rewards launch lets clients select three-, six-, 12- or 18-month terms, with rewards compounding weekly into the locked allocation — meaning an 18-month term locks funds for roughly six times the shortest available term. The program covers USD, EUR, USDT, UUSDC$1.0000▲0.01% and USDG balances.

John Zettler, Kraken’s Director of Product, Kraken Earn & Trade, described the intent in Kraken’s announcement: “Many Kraken clients holding cash or stablecoins want the same thing: a clear, fixed-rate yield on that cash. Fixed Rate Rewards provides that certainty. You choose how long to lock your cash & stables, agree on a rate, and then get a steady stream of predictable cash rewards.”

Funds committed to a term stay locked until it ends, with rewards compounding in weekly. In the United States, participation is limited to accredited investors.

The documents show that all three products arrived on the same day. The documents establish the offerings and their stated terms. Adoption figures, trading volumes and capital attracted are not in them.