Post by : Badri Ariffin

American crypto exchange Kraken has secured a major financial boost, announcing an $800 million funding round on Tuesday that marks one of the largest capital raises in the company’s history. The fresh cash arrives at a moment when global digital asset markets remain volatile, yet investor appetite for infrastructure-focused crypto firms is clearly holding strong.

Kraken said the new funding was completed in two tranches. The primary investment came from major institutional players including Jane Street, DRW Venture Capital, HSG, Oppenheimer Alternative Investment Management, and Tribe Capital. Additional backing also came from the family office of Kraken Co-CEO Arjun Sethi.

Alongside the main round, a separate $200 million strategic investment from Citadel Securities was sealed at a $20 billion valuation. Earlier reports suggested Kraken was targeting a $500 million raise at a $15 billion valuation, but the final amount and valuation surpassed expectations—signaling growing conviction in the company’s long-term roadmap.

The raise is especially notable given Kraken’s historically limited reliance on outside funding. Before this round, the exchange had secured only $27 million in primary capital. Despite that lean approach, Kraken generated $1.5 billion in revenue in 2024 and said it has already exceeded that figure within the first nine months of 2025.

With fresh capital in hand, Kraken plans to accelerate its expansion across Latin America, Asia Pacific, and the EMEA region. The company also aims to broaden its offerings beyond cryptocurrency, adding new asset classes, advanced trading tools, expanded payment services, and deeper institutional features.

The funding comes amid a broader market cooling, with recent crypto price drops tied to tighter dollar liquidity. Still, Kraken’s successful raise suggests that investors see long-term opportunity in regulated and scalable trading infrastructure—even as the industry navigates short-term pressures.

Kraken has also been weighing a public listing for several years, with reports earlier this year indicating that the company is considering an early 2026 IPO. While the timeline remains fluid, this substantial funding round places Kraken in a stronger position ahead of any potential move to go public.

#Global News #Technology