Press Releases

Kraken exchange eyes a $100M funding round as it gears up for a potential IPO

Array
Kraken crypto exchange eyes a $100M funding round.

According to insiders, Kraken, a US-based cryptocurrency exchange, is making preparations for an initial public offering (IPO) by doing a final financing round that exceeds $100 million.

The decision is made in response to a surge in the digital asset market and a projected change in US regulatory perspectives on digital assets.

Kraken has been considering an Initial Public Offering (IPO) since 2021 and is projected to conclude this financing round by the end of the year. Established in 2011, Kraken is committed to expediting the worldwide acceptance and use of cryptocurrencies.

Despite encountering market downturns and regulatory obstacles, like as continuing legal disputes with the US Securities and Exchange Commission (SEC), Kraken is expected to produce revenue ranging from $1 billion to $2 billion this year.

By contrast, Coinbase, the biggest cryptocurrency exchange in the United States, became a publicly traded company in 2021 via a direct listing and is projected to generate $5.9 billion in revenue.

Kraken is aggressively searching for a firm to join its board in order to guarantee a successful Initial Public Offering (IPO), maybe as soon as next year.

Discussions have included casual exchanges of words and values without any official record. The current aggregate value of the cryptocurrency market is $2.5 trillion, and Bitcoin is maintaining its position above the critical barrier of $70,000.

Kraken’s decision to pursue an initial public offering (IPO) is driven by the current advantageous market circumstances and growing recognition of digital assets.

The prospective $100 million financing would enhance Kraken’s resources, facilitating growth and fortifying its market position. The company’s estimated revenue range of $1 billion to $2 billion demonstrates its robust market position and promising growth prospects.

Kraken exchange has recently seen its highest levels of Bitcoin and Ethereum outflows since 2017, according to Joao Wedson of Dominando Cripto. The exchange’s BTC holdings have decreased to levels not seen since 2018, with withdrawals totaling over $3.33 billion.

Tags

Optimisus is a Web3 media company that covers the latest cryptocurrency, NFT, metaverse, blockchain, and Fintech news influencing the crypto industry.