Regulation of processes involving cell contact and adhesion such as growth control, tumor invasion, and metastasis. Negative regulator of EGFR signaling pathway. Forms complexes with beta-catenin and gamma-catenin/plakoglobin. Beta-catenin may be a substrate for the catalytic activity of PTPRK/PTP-kappa. H2O + O-phospho-L-tyrosyl-[protein] = L-tyrosyl-[protein] + phosphate High levels in lung, brain and colon; less in liver, pancreas, stomach, kidney, placenta and mammary carcinoma. This protein undergoes proteolytic processing. Belongs to the protein-tyrosine phosphatase family. Receptor class 2B subfamily.