Kraken Considers Pre-IPO Funding Round

Kraken Considers Pre-IPO Funding Round

Kraken, a leading cryptocurrency exchange, is reportedly considering a pre-IPO funding round. According to Bloomberg, which cited unnamed sources familiar with the matter, the exchange is in talks with potential investors. In May 2023, Kraken publicly announced its intention to pursue an initial public offering (IPO) in the future. A pre-IPO funding round would allow the company to raise additional capital and prepare for its eventual public listing. The sources cautioned that the talks are ongoing and may not result in a transaction. Kraken has not officially confirmed the reports of a pre-IPO funding round. If successful, the funding round would likely value Kraken at a significant premium to its last private valuation of \$10 billion in 2021. The crypto market has rebounded strongly in recent months, boosting the value of crypto exchanges like Kraken. Kraken's decision to pursue a pre-IPO funding round is a sign of its confidence in the future of the crypto industry. The company has been expanding its product offerings and global reach in recent years. It recently launched a non-custodial wallet and acquired the crypto derivatives platform, Deribit. Kraken's move also follows a trend of other crypto companies going public. Coinbase, the largest crypto exchange in the United States, went public in April 2021. Several other crypto companies have since followed suit, including Binance.US and Bakkt.