Kraken Targets $20B Valuation in Pre-IPO Funding Round: Market Eyes Crypto Unicorn’s Next Move

Crypto exchange Kraken is reportedly positioning for a massive $20 billion valuation in its latest pre-IPO funding round—signaling institutional confidence despite regulatory headwinds.

Wall Street Meets Crypto

The potential $20 billion price tag would place Kraken among the most valuable private crypto companies globally, challenging traditional finance's skepticism with pure market momentum.

IPO Horizon

This funding round serves as the final private capital raise before an expected public offering, testing whether traditional investors will finally embrace crypto-native businesses at scale.

Market Implications

A successful $20 billion valuation would validate the entire crypto exchange sector's growth trajectory—proving that even Wall Street can't ignore the numbers when they're this large.

Because nothing convinces institutional investors like a big, fat valuation—even if they still don't understand the technology behind it.

Kraken Targets 2026 IPO Amid Expansion Plans

The San Francisco-based exchange, one of the largest in the US by volume, is aiming for an IPO as early as 2026.

Bloomberg noted that Kraken is working with Morgan Stanley and Goldman Sachs Group to lead the offering.

Kraken has also been aggressively expanding. In March, it announced plans to acquire derivatives platform NinjaTrader in a $1.5 billion deal.

The firm restructured in late 2024, appointing Tribe Capital’s Arjun Sethi as co-CEO, and began publishing financials, revealing $1.5 billion in revenue for 2024 and $472 million in Q1 2025.

JUST IN:#Bitcoin and crypto exchange Kraken raises $500 million at a $15 billion valuation.

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This week, Kraken also pledged $2 million to pro-Trump crypto political action committees (PACs) in 2025, indicating the growing influence of digital asset firms in Washington.

In a post on X, Co-CEO of Kraken Arjun Sethi noted that the exchange will donate $1 million to the Digital Freedom Fund (DFF) and another $1 million to venture firm Andreessen Horowitz’s advocacy initiative, the America First Digital (AFD).

The decision, he said, reflects a broader strategy by crypto companies to shape regulatory frameworks and support candidates who back industry growth.

Notably, Kraken’s latest pledge adds to its earlier contributions to political action committees. In January 2024, its parent company, Payward Inc., donated $750,000 to Fairshake PAC.

Crypto IPOs Gain Momentum

Last week, BitGo officially filed for an initial public offering, becoming the first dedicated crypto custodian to pursue a listing on a US stock exchange.

BitGo’s IPO filing came amid renewed momentum for crypto-related public offerings.

The digital asset space has seen several notable public listings in 2025. Stablecoin issuer Circle made a splash with its IPO in June, surging more than sevenfold since going public.

Online trading platform Etoro, which offers crypto trading among its services, debuted in May.

In addition, Galaxy Digital, led by Mike Novogratz, moved its listing from the Toronto Stock Exchange to Nasdaq earlier this year.

Gemini, the exchange founded by the Winklevoss twins, filed confidentially for a U.S. IPO in June, signaling strong market confidence in crypto exchanges going public.

More recently, Figure Technology Solutions Inc., a blockchain-focused lending platform, raised $787.5 million in its initial public offering.

The San Francisco-based company, alongside key backers including Ribbit Capital, sold 31.5 million shares at $25 apiece, valuing the firm at roughly $5.3 billion.

Originally targeting a lower range, Figure increased both the share count and price just days before the listing, signaling strong investor demand.