This summary text is fully AI-generated and may therefore contain errors or be incomplete.
Kraken’s IPO Preparation
Kraken, a well-known cryptocurrency exchange founded in 2011, is preparing for an Initial Public Offering (IPO) similar to its major competitor, Coinbase. The exchange has been a significant player in the US market, ranking second in trading volume after Coinbase.
Interest and Funding
Due to the ongoing cryptocurrency rally, Kraken has attracted substantial interest from potential investors, leading to considerations for a final funding round aiming to raise over $100 million. This funding would be part of a “Pre-IPO round,” a private financing initiative preceding the actual IPO.
Board Partnership and Challenges
The exchange is also looking for a significant partner to join its board and assist in structuring the IPO. Although no concrete plans have been formalized yet, Kraken’s IPO ambitions were initially hindered by the cryptocurrency market downturn and legal disputes with the US Securities and Exchange Commission (SEC).
Valuation and Revenue Projections
If successful, Kraken’s IPO could position the exchange as one of the most highly valued cryptocurrency companies, potentially reaching a valuation of up to $20 billion. Despite being privately owned and not disclosing revenue figures, insiders have projected a revenue of $1 to $2 billion for Kraken in the current year. In comparison, Coinbase, which went public in April 2021, is estimated to achieve a revenue of around $6 billion by 2024, trading at a valuation of nearly $60 billion.
Changing Landscape of Cryptocurrency Exchanges
These developments highlight the changing landscape of cryptocurrency exchanges and the increasing interest in their public listings.
📎 Read the original article on cvj.ch
