Crypto exchange Kraken is reportedly in advanced discussions to secure fresh capital that could value the company at around $20 billion, according to a Bloomberg News report. The envisioned funding round is said to include a commitment of $200 million to $300 million from a strategic investor, as per a person familiar with the matter. A spokesperson for Kraken declined to comment on the discussions.
This move would come on the heels of Kraken’s earlier $500 million venture funding round that valued the firm at $15 billion. Back then, the round was closed on Kraken’s terms without a lead investor, and included participation from co-CEO Arjun Sethi’s Tribe Capital, alongside various venture capitalists and investment managers. Under Sethi’s strategic leadership, Kraken has expanded its service offerings, including spot, margin and derivatives trading across more than 200 assets and eight fiat currencies to over nine million customers worldwide.
Kraken’s growth trajectory over the past year has also been marked by its $1.5 billion acquisition of NinjaTrader. This purchase bolstered Kraken’s footprint in U.S. futures markets and widened its institutional client base by approximately two million. The firm has navigated significant executive turnover in preparation for its planned IPO, now anticipated in 2026. Insider sources note that Kraken is trimming its workforce ahead of the share sale, aiming to streamline operations and present a more efficient organizational profile to public market investors.
The broader cryptocurrency industry has seen rising investor appetite, driven by clearer regulatory frameworks and institutional adoption of digital assets. Several crypto-native firms have successfully transitioned to public markets, including Circle’s USDC issuer and blockchain lending platforms such as Figure, attracting favorable market receptions. Against this backdrop, Kraken’s prospective funding round could serve as a prelude to its public listing, reflecting confidence in crypto exchanges’ long-term growth prospects despite market volatility.
Reporting by Prakhar Srivastava in Bengaluru; Editing by Mohammed Safi Shamsi.
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