Kraken has crossed the $20 billion valuation mark after an $800 million fundraising round led by Jane Street, DRW, Tribe Capital, and a key player: Citadel Securities.
Kraken validates a fundraising round led by finance giants
An $800 million fundraising round propels Kraken into a new dimension. The American exchange, long considered one of the historical pillars of the industry, now boasts a $20 billion valuation. A strong signal in a market where attracting institutional capital is rare. It’s a strategic move as the company quietly prepares for its IPO.
Kraken prepares for the next step with an IPO
This influx of capital comes as Kraken accelerates its international expansion. The exchange is making acquisitions, including Small Exchange for $100 million to build its own derivatives platform in the US. A logical move as derivatives have become the main arena for crypto volumes, and Kraken doesn’t want to leave this field only to offshore players.
Internally, the reorganization initiated at the end of 2024 continues to set the pace. Arjun Sethi, co-founder of Tribe Capital, has been sharing the leadership with David Ripley for a year, a duo seeking to strengthen the company for a potential IPO expected early next year. While Kraken maintains a low profile, the timeline seems to be in motion.
Numbers that speak volumes
The business dynamics validate the strategic shift. The company generated $472 million in revenue in the first quarter of 2025, up 19% from the previous year. In the market of exchanges supporting the dollar, Kraken recorded $40.5 billion in volumes in October, strengthening its position with institutional investors and regulators.
For Sethi, this fundraising represents “a long-term commitment to building an open, reliable, and regulated financial infrastructure.” His vision remains focused on a simple idea: all asset classes will eventually be continuously tradable, and Kraken aims to become the highway of this future global market.
A valuation that reshuffles the deck
Reaching $20 billion in the current context is significant. This places Kraken in a very select circle of crypto companies capable of mobilizing capital on a large scale while maintaining a regulatory trajectory compatible with a US stock market listing. If the IPO materializes, the exchange could become a major barometer of the sector, akin to Coinbase in 2021.
The market now expects a rapid ramp-up: new products, international expansion, and a clearer balance between innovation, compliance, and operational efficiency. Kraken is not just buying capital; it is acquiring time, credibility, and a strategic advantage ahead of the next wave of crypto adoption.
