Kraken added support for USDG deposits and withdrawals through Arbitrum One on October 29, 2026. USDG trading was already available on Kraken, so this update adds a new funding route rather than a new trading market.
Users must select Arbitrum One on both Kraken and the sending or receiving wallet. Kraken warns that deposits sent over another network will be lost. Availability can also vary by region.
USDG on Arbitrum One is issued natively by Paxos as an ERC-20 token. It is not a token bridged from Ethereum. This removes the need for a third-party bridge when moving USDG between Kraken and Arbitrum One and avoids the waiting period associated with withdrawals through Arbitrum's canonical bridge.
The integration may be useful for people who already use applications on Arbitrum, but it does not remove the usual transfer checks. Confirm the selected network, receiving address, regional availability and applicable fees before sending funds.
USDG, or Global Dollar, is a US dollar-denominated stablecoin issued by Paxos. Paxos says USDG can be redeemed one-for-one for US dollars and that its reserves consist of cash and cash equivalents held in segregated accounts. USDG is also the core asset of the Global Dollar Network, whose members include Kraken.
USDG should not be treated as identical to cash. Its market price can move away from one US dollar, and there is no guarantee that reserves will always be sufficient to meet every redemption request. Users should review the issuer's disclosures before holding or transferring it.
Sources: Kraken's official announcement and Arbitrum's official announcement.