Reserve & CF Benchmarks Launch $LCAP - Kraken’s First Licensed Crypto Index Token Shakes Up Market

Kraken just greenlit the crypto index token revolution—and Wall Street's playing catch-up.

THE LICENSE BREAKTHROUGH

Reserve and CF Benchmarks smashed regulatory barriers with $LCAP, the first fully licensed crypto index token to hit Kraken's trading platform. This isn't another speculative altcoin—it's a regulated gateway to diversified crypto exposure without the compliance headaches that typically plague institutional entrants.

INDEX POWER MEETS MAIN STREET ACCESS

The token tracks a basket of top cryptocurrencies, giving retail investors institutional-grade diversification through a single trading instrument. Forget managing multiple wallets and exchanges—$LCAP bundles market exposure into one compliant package that bypasses the usual regulatory gray areas that make traditional finance firms hesitate.

WHY KRAKEN'S STAMP MATTERS

Kraken's approval signals major exchange endorsement for licensed crypto products at a time when regulatory scrutiny intensifies daily. While legacy finance still debates Bitcoin ETFs, crypto-native platforms are already deploying the next generation of investment vehicles—proving once again that innovation moves faster than legislation.

Another day, another reminder that crypto builds what traditional finance spends years committee-meeting to death.

ETF-Like Simplicity with Onchain Execution

According to Reserve $LCAP is backed 1:1 by underlying assets held in smart contracts. The portfolio is rebalanced quarterly and redeemable for its underlying components.

Thomas Mattimore, CEO of ABC Labs, a contributor to the Reserve ecosystem, explains the launch represents a step forward in bringing traditional investment simplicity into crypto markets.

“$LCAP gives users access to approximately 90% of the total cryptocurrency market cap in a decentralized, diversified index-based investment product that looks and feels like an ETF,” said Mattimore.

The structure makes it possible for both retail and institutional investors to gain broad crypto exposure in a regulated, transparent, and liquid manner.

Institutional-Grade Scale and Partnerships

$LCAP is supported by Reserve’s decentralized index infrastructure and executed in partnership with MEV Capital, a firm specializing in institutional-scale trading.

“By tracking our Large Cap Index, $LCAP will seamlessly deliver diversified exposure to the largest digital assets through one tokenized vehicle,” said sui Chung, CEO of CF Benchmarks.

Expanding Access to Decentralized Index Products

Reserve already oversees more than $500 million in total value locked (TVL) across its suite of index and yield DTFs. These products allow users to earn onchain yield denominated in assets such as ETH and USDC.

With $LCAP, Reserve is expanding its product offering to investors seeking both diversification and institutional-grade safeguards.

The introduction of $LCAP on Kraken shows growing alignment between regulated benchmarks and tokenized investment products. It also highlights the trend of bringing ETF-like experiences to crypto markets, where efficiency, accessibility, and decentralization intersect.

CME Group, CF Benchmarks Launch Internet Computer Indices

Last year Chicago Mercantile Exchange (CME) Group and CF Benchmarks started offering new reference rates and real-time indices for Ripple (XRP) and Internet Computer (ICP).

According to a July 11 announcement made by the CME Group, CF Benchmarks will publish these new indices daily to deliver accurate and reliable pricing information for Ripple and Internet Computer to a broad range of market participants.