Kraken Seeks Over $100 Million in Pre-IPO Fundraising: Bloomberg
Kraken plans to raise over $100 million in a final funding round before a potential initial public offering (IPO).
According to a recent report by Bloomberg, Kraken, one of the biggest cryptocurrency exchanges, is seeking to boost its financial position with a pre-IPO funding round with the current market rally, said people familiar with the matter.
The sources who requested anonymity due to the private nature of the discussions said that Kraken is planning to raise funds with the target amount exceeding $100 million and is expected to be completed by the end of the year.
“We are always exploring strategic paths toward Kraken’s Mission: accelerating the global adoption of crypto,” said Kraken in a statement, while declining to comment specifically on the fundraising or IPO. “We remain fully focused on investing in this goal,” the statement added.
Kraken is seeking a prominent company as a “marquee” to join its board and assist in achieving a successful IPO. The discussions have thus far been limited to verbal negotiations regarding terms and valuations, without any formal documentation, one source noted.
The report stated that as cryptocurrencies approach all-time highs once again, there has been a shift in U.S. regulatory stance against digital assets. This has led to renewed interest from investors in companies within the sector, sparking discussions about going public.
The exchange’s plans to go public have been delayed by past crypto market downturns and disputes with the Securities and Exchange Commission. Last year, Kraken settled one case with the SEC but is still involved in ongoing litigation with the agency.
Other industry giants are also seeking expansion. Robinhood just announced its plan to acquire Bitstamp in a
