Kraken has announced that it is now valued at $20 billion following an $800 million funding round aimed at supporting the U.S.-based crypto exchange’s global expansion.
The funding was raised in two tranches. The second tranche featured a $200 million strategic investment from U.S. market-making powerhouse Citadel Securities, establishing the $20 billion valuation. As part of the deal, Kraken and Citadel will enter a strategic partnership, with Citadel providing expertise in liquidity provision, risk management, and market structure—similar to its recent involvement in Ripple’s $500 million raise.
The first tranche of funding included participation from Jane Street, DRW Venture Capital, HSG, and Tribe Capital, along with a “significant commitment” from the family office of Kraken Co-CEO Arjun Sethi.
Kraken said the new funding will help the company scale its global operations, strengthen its regulated presence, and expand its product offerings—both organically and through targeted acquisitions.
While Kraken already operates in multiple countries, it plans to enhance its services and pursue growth in new markets across Latin America, Asia Pacific, Europe, the Middle East, and Africa.
IPO Speculation Continues
Kraken has teased or been linked to an initial public offering (IPO) several times over the years. In early 2021, co-founder and former CEO Jesse Powell indicated plans for the company to go public at the start of 2022. However, unlike competitors such as Coinbase, which went public over four years ago, Kraken has yet to make a definitive move.
Co-CEO Arjun Sethi told Yahoo Finance on Friday that the firm is not in a hurry to go public, despite a more favorable regulatory climate in the U.S. He emphasized that Kraken is “financially sound” and well-capitalized through private funding, with the recent $800 million injection further strengthening its position.
