Kraken Eyes $1 Billion Debt Raise for Growth and Potential IPO
Kraken, a leading crypto exchange, is considering a debt financing of up to $1 billion. This move is part of its strategy to fuel growth and prepare for a possible initial public offering (IPO). The company is working with financial heavyweights Goldman Sachs and JPMorgan Chase to evaluate this plan.
The debt raise could be as low as $200 million. It aims to support Kraken’s expansion rather than cover day-to-day costs. Additionally, Kraken is exploring an equity raise, but no final decisions have been made.
Founded in 2011, Kraken has seen remarkable growth. In 2024, its revenue surged by 128% to $1.5 billion. The platform serves over 10 million users in more than 190 countries, with quarterly trading volumes over $207 billion.
Kraken’s IPO plans have gained momentum due to a friendlier regulatory climate. The company aims to go public by the first quarter of 2026. A recent dismissal of a Securities and Exchange Commission (SEC) lawsuit has removed a major obstacle.
To diversify its services, Kraken acquired NinjaTrader, a U.S. retail futures trading platform, for $1.5 billion. This move will help Kraken offer crypto futures and derivatives in the U.S., aligning with its goals to enter equities trading and payments.
