Payward Inc, the unified financial infrastructure platform behind cryptocurrency exchange Kraken, has entered into a definitive agreement to acquire the wallet-as-a-service business of non-custodial provider Magic Labs. Structured as an asset purchase, the transaction folds Magic’s wallet technology directly into Payward Services, expanding its B2B offering alongside trading, institutional custody, tokenized real-world assets, and derivatives.
Magic Labs’ wallet infrastructure combines Trusted Execution Environment (TEE)-based key signing, an embedded integration layer, and a developer SDK into a single stack. To date, the system has powered more than 60 million wallets and facilitated over $10 billion in stablecoin volume across 200,000 developers. By bringing this technology in-house, Payward enables its enterprise partners to deploy frictionless self-custody and web3 onboarding experiences through a single integration point, eliminating the need to manage fragmented third-party vendors.
Following the sale of its wallet division, Magic Labs is rebranding to Newton Labs. The company will focus entirely on developing Newton Protocol, an on-chain authorization layer designed to enforce compliance, security, identity, and risk policies for institutional transactions prior to settlement.
Once the acquisition closes in the coming weeks, Magic’s wallet technology will be fully integrated into Payward’s shared architectural foundation. The deal marks Payward’s latest strategic expansion in building unified, full-stack infrastructure for global on-chain financial operations.
