TL;DR: Crypto exchange Kraken has raised $500 million in funding, increasing its valuation to $15 billion. The funds will support expansion, acquisitions, and preparations for an IPO in 2026.
📌 Key Points
Funding & Valuation
- Kraken raised $500 million, bringing its valuation to $15 billion, up from $11 billion in 2022.
- The round had no lead external investor and included Tribe Capital and CEO Arjun Sethi, personally and via his fund.
IPO Plans
- The funding supports Kraken’s planned IPO in Q1 2026.
- CEO Arjun Sethi said Kraken will prioritize “sustainable growth” over rushing the listing.
Financial & Market Performance
- Kraken earned $411 million in revenue and $80 million in post-EBITDA profit in Q2 2025.
- The platform handles $1.37 billion in daily trading volume across over 1,100 trading pairs.
Growth Initiatives
- Funds will support product development, international expansion, and acquisitions.
- Notable acquisition: NinjaTrader, a futures platform, for $1.5 billion.
- Kraken is also entering tokenized stock and ETF trading.
Regulatory & Market Context
- Kraken holds 68% of the fiat-to-crypto market share.
- The IPO comes amid a resurgent crypto market and eased regulations, though Kraken still faces SEC scrutiny over past stablecoin issues.
Investor & Public Sentiment
- Some analysts and social media users are optimistic, calling it a positive signal for crypto markets.
- Others question the valuation and note potential regulatory risks ahead of the IPO.