Kraken has announced plans to replace 176 cryptocurrency trading pairs with synthetic markets, eliminating maker-fee eligibility and forcing the cancellation of all outstanding orders. The exchange said the changes will begin on November 6, with replacement markets expected by November 9.
On October 27, Kraken notified customers that affected markets will enter cancel-only mode on November 6 at 14:00 UTC, preventing new orders. Existing orders will be cancelled and the native markets removed between November 6 and 9. Replacement markets are scheduled to go live by the end of November 9, but customers must submit fresh orders as existing instructions will not transfer.
Affected pairs include BTC/DAI, ETH/JPY, AAVE/BTC, ADA/AUD and SHIB/USDT. Kraken said the underlying cryptocurrencies will remain available on its platform, and customer balances and margin trading pairs will be unaffected.
The migration replaces traditional order books with a system that routes transactions through existing liquidity pools. Kraken's synthetic trading model executes orders through two underlying markets that share a common currency, typically the US dollar. For example, a SOL/DOGE trade can be routed through SOL/USD and DOGE/USD, combining both transactions into a single trade with one fee.
Synthetic limit orders will remain available, but will only execute when the underlying markets offer sufficient liquidity at the customer's specified price or better. The new system does not support partial fills, post-only orders, or time-in-force settings. Kraken said the model could offer tighter spreads than native markets with limited liquidity, and customers pay a single taker fee instead of separate fees for two trades.
Kraken already offers more than 10,000 synthetic pairs through Kraken Pro. The affected markets will be absorbed into that system.
Analysis
Why This Matters
- The change affects active traders and market makers who rely on maker rebates and partial fills for their strategies.
- The move simplifies the order book architecture but imposes taker fees on all trades, altering cost dynamics for limit order users.
- It signals a broader shift by Kraken towards its synthetic market model, which already underpins thousands of pairs.
Background
Kraken, a major cryptocurrency exchange, has been gradually transitioning from native order books to synthetic markets. Synthetic trading executes a single trade by combining two underlying markets, typically using a common base currency like USD. This approach allows the exchange to offer a wide range of trading pairs without maintaining dedicated liquidity for each. Kraken already operates over 10,000 synthetic pairs via its Kraken Pro interface.
What to Watch
- November 6, when affected markets go to cancel-only mode and customers must act before orders are cancelled.
- How the trading community responds to the loss of maker pricing and advanced order types.
- Whether the expanded synthetic market system improves liquidity and trading volumes as Kraken expects.
Checked
12 claims in this story checked against 1 source: 11 supported.
Show each claim
- SupportedKraken will replace 176 cryptocurrency trading pairs with synthetic markets.CryptoSlate: “Kraken will replace 176 cryptocurrency trading pairs with synthetic markets”
- SupportedAll outstanding orders in the affected markets will be cancelled.CryptoSlate: “Existing orders will be canceled and the native markets removed between Nov. 6 and Nov. 9.”
- SupportedThe changes eliminate maker-fee eligibility.CryptoSlate: “Kraken will replace 176 cryptocurrency trading pairs with synthetic markets, eliminating maker-fee eligibility”
- SupportedThe changes begin on November 6, with replacement markets expected by November 9.CryptoSlate: “The exchange said in an Oct. 27 notice that affected markets will enter cancel-only mode on Nov. 6 at 14:00 UTC, preventing customers from submitting new orders. Existing orders will be canceled and the native markets removed between Nov. 6 and Nov. 9.”
- Partly supportedKraken notified customers on October 27 that affected markets would enter cancel-only mode on November 6 at 14:00 UTC, preventing new orders.CryptoSlate: “The exchange said in an Oct. 27 notice that affected markets will enter cancel-only mode on Nov. 6 at 14:00 UTC, preventing customers from submitting new orders.”
- SupportedNative markets will be removed between November 6 and 9.CryptoSlate: “Existing orders will be canceled and the native markets removed between Nov. 6 and Nov. 9.”
- SupportedCustomers must submit fresh orders because existing instructions will not transfer.CryptoSlate: “Replacement markets are scheduled to become available by the end of Nov. 9, although customers must submit fresh orders because existing instructions will not transfer.”
- SupportedKraken said the underlying cryptocurrencies will remain available, while customer balances and margin trading pairs will be unaffected.CryptoSlate: “Kraken said the underlying cryptocurrencies will remain available on its platform, while customer balances and margin trading pairs will be unaffected.”
- SupportedThe migration replaces traditional order books with a system that routes transactions through existing liquidity pools.CryptoSlate: “The migration changes how customers execute trades across the affected markets, replacing traditional order books with a system that routes transactions through existing liquidity pools.”
- SupportedSynthetic orders execute through two underlying markets sharing a common currency, typically the US dollar, and Kraken combines the transactions into one trade with one fee.CryptoSlate: “orders execute through two underlying markets that share a common currency, typically the US dollar, with both transactions completed simultaneously in its matching engine. A customer exchanging Solana for Dogecoin, for example, can have the transaction routed through SOL/USD and DOGE/USD. Kraken combines the execution into a single trade and applies one consolidated fee.”
- SupportedSynthetic limit orders execute only when the underlying markets have sufficient liquidity at the customer's specified price or better.CryptoSlate: “Synthetic limit orders will remain available, but they will execute only when the underlying markets offer sufficient liquidity at the customer's specified price or better.”
- SupportedThe new markets do not support partial fills, post-only orders or time-in-force settings.CryptoSlate: “The new markets also eliminate partial fills and several advanced trading instructions, including post-only orders and time-in-force settings.”