Kraken Targets $15 Billion Valuation After Closing Massive $500 Million Funding Round
Kraken just secured half a billion dollars—and now sets its sights on Wall Street-level valuation.
Funding Firepower
The exchange landed $500 million in fresh capital from investors betting big on crypto's infrastructure play. That cash injection positions Kraken among the best-funded players in the digital asset space.
Valuation Ambitions
With new war chest in hand, Kraken's leadership targets a staggering $15 billion valuation—a number that would make traditional finance brokers blush. The move signals crypto exchanges aren't just competing for users anymore; they're gunning for institutional legitimacy.
Market Positioning
This funding round comes as regulators globally tighten scrutiny on digital asset platforms. Kraken's ability to raise substantial capital during regulatory uncertainty demonstrates investor confidence in the exchange's compliance-first approach.
Because nothing says 'mature industry' like chasing billion-dollar valuations while regulators still debate basic definitions—but hey, that's crypto for you.
Kraken plans to go public following $500 million funding
Kraken has reportedly secured $500 million in funding this month at a $15 billion valuation, according to a report from Fortune on Friday.
The report, which cited a source familiar with the matter, stated that the round had no lead investor and was closed on Kraken’s own terms. Participants included investment managers, venture capital firms, and Kraken co-CEO Arjun Sethi, who invested through his Tribe Capital fund.
Sethi reportedly joined as the company’s co-CEO after co-founder Jesse Powell stepped down in 2022 amid a federal investigation into his role at a Sacramento arts nonprofit.
Powell named Dave Ripley as his successor while stepping down, but Kraken announced that Sethi had been appointed co-CEO last year. Sethi is also reportedly responsible for the company's strides over the past year.
Although Kraken has not yet filed an S-1 with the SEC, its recent steps such as enhanced financial disclosures suggest it is preparing to go public.
The exchange, which was founded in 2011, had reportedly raised just $27 million in venture capital until this year. It also generated roughly $411 million in revenue with nearly $80 million in post-EBITDA earnings in the second quarter, according to the report.
Kraken’s reported interest in going public comes as more crypto firms move to the public markets with strong results. Gemini, the latest to debut earlier this month, was over 20 times oversubscribed in its NASDAQ listing, raising $425 million and pushing its market cap above $2.8 billion.
Blockchain-based home equity lender Figure Technology also raised $787.5 million, giving the company a $7.6 billion valuation. Other crypto-related companies that have gone public include Circle, eToro and Bullish.
Meanwhile, Kraken launched tokenized US stocks (xStocks) earlier this year. xStocks provide price exposure to popular US stocks like Apple, Tesla and GameStop, but they do not confer shareholder rights such as voting.
