With the launch of DeFi Earn, the exchange is pulling one of crypto’s most powerful ideas out of the weeds and into an app many investors already trust.
For experienced users, it can be time consuming. Kraken’s pitch is straightforward. Earn up to 8 percent APY on supported assets without seed phrases, manual approvals, or juggling multiple apps.
How DeFi Earn Works
DeFi Earn is built with partners Veda, Sentora, and ChaosLabs, and it runs directly inside the Kraken app. Users deposit assets, choose a vault, and earn rewards automatically. The goal is to make onchain rewards feel as easy as a traditional savings product, while keeping returns tied to real blockchain activity.
We’re making DeFi rewards simple.
Meet DeFi Earn, powered by @Veda_labs, @SentoraHQ and @ChaosLabs.
Earn up to 8% APY on your assets all within the Kraken app experience you already know & trust.
No complicated setup. No technical steps. Just start earning ⤵️… pic.twitter.com/qD9UnwYkus
— Kraken (@krakenfx) January 26, 2026
At its core, DeFi Earn connects user deposits to established lending protocols such as Aave, Morpho, Tydro, and the Sky Ecosystem. These platforms allow borrowers to access crypto liquidity by paying interest. That borrower demand is what generates rewards for users. Kraken stresses that there are no token subsidies and no hidden incentives. Yields come from actual use, not short term promotions.
Users can select between Balanced, High, or Advanced vaults. These options reflect different risk and return profiles. Risk management is handled by Sentora and ChaosLabs, teams known for monitoring protocol health, liquidity, and market stress. Veda provides the infrastructure that routes funds across protocols in a controlled way.
Wondering how this all holds up?
Rewards come from real borrower demand in protocols like @Aave, @Morpho, @TydroHQ, @SkyEcosystem and more, powered by Veda and managed by risk teams Chaos and Sentora.
Withdrawals are typically instant. If vault liquidity is tight, there will be…
— Kraken (@krakenfx) January 26, 2026
A key piece is the embedded wallet system from Privy. It automates onchain steps in the background. This means no seed phrases to store and no manual transaction signing for each action. For many newcomers, that removes the biggest barrier to trying DeFi at all.
Withdrawals are typically instant. Kraken notes that if a vault is temporarily low on liquidity, users may see short delays, but funds remain onchain and visible.
More About Kraken
Kraken announced that CASH, a new 1:1 USD backed stablecoin from Bridge and Phantom, is coming soon to the platform. With trading set to begin on Jan 27 at 14:00 UTC. Branded as an open, neutral, and interoperable stablecoin. CASH is designed to move smoothly across both crypto networks and traditional payment systems.
Coming soon to Kraken 💵$CASH by @useCASH is a 1:1 USD-backed stablecoin from Bridge and Phantom.
Open, neutral, and interoperable. Built for real-world utility across crypto and traditional payments.
Trading starts Jan 27 at 14:00 UTC
Get ready → https://t.co/c9y3thQ3Mu pic.twitter.com/KVznw6MIQx
— Kraken (@krakenfx) January 26, 2026
By focusing on real world utility rather than speculation, the project aims to make dollar based transfers simpler and more flexible for everyday use. This is while Kraken’s support gives it immediate reach to a broad global user base.
Disclaimer
The information provided by Altcoin Buzz is not financial advice. It is intended solely for educational, entertainment, and informational purposes. Any opinions or strategies shared are those of the writer/reviewers, and their risk tolerance may differ from yours. We are not liable for any losses you may incur from investments related to the information given. Bitcoin and other cryptocurrencies are high-risk assets; therefore, conduct thorough due diligence. Copyright Altcoin Buzz Pte Ltd.
