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Kraken has announced plans for its new colocation service aimed at clients and partners seeking ultra-fast execution, which will be live later this year.
To provide clients with access to ultra-low latency trading, Kraken’s operation will rent cloud compute from Beeks, the low-latency computing, connectivity, and analytics solutions provider. There will also be the option to install physical hardware at Kraken’s European data center and access colocation services directly.
Those using Beeks Exchange Cloud colocation services are set to experience the same low-latency benefits as those installing physical hardware at the data center, the firm stated, pointing to sub-millisecond latency for traders operating from London.
“Price discovery, and deeper liquidity for all of Kraken’s spot and derivative markets”
Shannon Kurtas, Head of Exchange at Kraken, said: “Kraken has spent over a decade continuously enhancing our infrastructure and technology, and this is the next step in that evolution. By working with Beeks, we’re facilitating even lower latency, more efficient price discovery, and deeper liquidity for all of Kraken’s spot and derivative markets. Many exchanges offer colocation services, but Kraken’s approach is unique – we’re making it accessible to all partners and clients, not just institutions. This ensures our most active traders receive an enhanced experience while maintaining our commitment to equal and fair market access, a fundamental value in crypto.”
Gordon McArthur, CEO at Beeks Financial Cloud, said: “Our partnership with Kraken is built on shared values of performance, transparency, and trust. With Beeks’ Exchange Cloud® already delivering great results in the tier 1 equity exchanges space, this collaboration is the first of its kind in the crypto space. Together, we’re setting a new benchmark for low-latency, institutional-grade infrastructure, ensuring all traders—regardless of size—benefit from the security, reliability, and performance they need. This is a significant step forward for crypto markets—by lowering barriers to entry and leveling the playing field, we’re supporting Kraken in enhancing access, execution speed, and market fairness for all.”
Beeks Achieved EU’s NIS2 Compliance
Beeks recently announced its compliance with the European Union’s Network and Information Security Directive (NIS2) toward providing secure, resilient, and reliable infrastructure for financial institutions.
The NIS2 Directive is an updated regulation introduced by the European Union to enhance cybersecurity standards across critical sectors, including financial services and cloud providers. The directive came into effect in October 2024, requiring organizations operating in the EU to adhere to these standards. Beyond regulatory compliance, NIS2 is a framework to reduce risks, enhance operational resilience, and protect customers.
Organizations subject to NIS2 must:
- Implement measures to prevent and manage cybersecurity risks.
- Ensure continuity of critical operations during cyber incidents.
- Report incidents promptly to relevant authorities.
- Demonstrate compliance with stringent security requirements.
The company’s efforts go beyond meeting regulatory requirements and focus on providing robust and scalable solutions tailored to the financial sector. Recent achievements, including SOC2 certification and expanded ISO accreditations, reflect this long-term strategy.
Beeks Achieved SOC 2 Last Year
Beeks also achieved SOC 2 compliance for its Proximity Cloud and Exchange Cloud products. The SOC 2 accreditation is a voluntary compliance standard for service organizations developed by the American Institute of CPAs (AICPA), which specifies how organizations should manage customer data. The standard is based on the following Trust Services Criteria: security, availability, processing integrity, confidentiality, and privacy.
The SOC 2 accreditation refers to Beeks’ two distinct products, Proximity Cloud and Exchange Cloud, catering to the specific needs of the financial markets infrastructure:
- Proximity Cloud: Launched in August 2021, this product is a fully-managed, configurable compute, storage, and analytics platform designed with industry-leading low latency hardware. It allows capital markets and financial services customers to run compute, storage, and analytics on-premise. Proximity Cloud is integrated with Beeks Analytics, enabling clients to monitor their data in real time, control access, and optimize operations through a point-and-click management interface.
- Exchange Cloud: Tailored for global financial exchanges, Exchange Cloud is a fully-managed, configurable compute, storage, and analytics rack built with industry-leading low latency hardware. It allows exchanges to run these services on-premise, providing a multi-home capability that enables exchanges to offer an in co-location, branded solution. This product is designed to meet the specific needs of global financial exchanges, facilitating the running of compute, storage, and analytics with high efficiency and low latency.
