Kraken has confidentially filed for a U.S. initial public offering, according to comments made by co-CEO Arjun Sethi, marking a new step in the crypto exchange’s public market plans. Sethi confirmed the filing on Tuesday during remarks reported from the Semafor World Economy conference in Washington, D.C. The statement also confirmed earlier reporting that the company had been preparing for a listing in the United States.
The filing comes after a period of changing market conditions for digital asset firms. Kraken had paused its IPO plans less than a month earlier during a weaker stretch for the crypto market, when Bitcoin traded far below its prior peak. The company’s renewed move toward a listing follows a recovery in crypto prices, with Bitcoin rising to around $76,000 on Tuesday.
Kraken is one of the largest cryptocurrency exchanges in the global market and has continued to expand its role in trading services for retail and institutional users. During his reported remarks, Sethi said the company aims to make advanced trading strategies more accessible to individual investors.
Deutsche Börse Investment Sets New Valuation
The IPO filing was disclosed on the same day that Deutsche Börse Group announced a planned investment in Kraken’s parent company, Payward Inc. Deutsche Börse said it would invest $200 million through a secondary transaction involving existing shares.
The purchase would give the exchange operator a 1.5% fully diluted ownership stake in the company, subject to regulatory approval and expected closing conditions in the second quarter.
Based on the terms, the transaction places Kraken’s valuation at about $13.3 billion. That figure is lower than the $20 billion valuation attached to the company’s $800 million raise announced in November. The difference shows a decline of more than $6 billion from the earlier level, even as Kraken resumes preparations for a public listing.
IPO Timing Follows Crypto Market Recovery
Kraken’s latest move comes as digital asset prices have shown renewed strength. Bitcoin has climbed in recent weeks and is reported to be up about 9% for April. The change in market conditions has reopened discussions around public listings, fundraising, and strategic investments across the crypto sector after a period in which several firms slowed expansion plans.
Deutsche Börse and Kraken had already established a relationship before the latest investment. In December, the two companies announced a partnership aimed at linking traditional financial markets and digital asset infrastructure, with a focus on institutional crypto adoption in Europe. The new stake extends that connection as Kraken moves ahead with its public market plans.
Exchange Reports Limited Customer Data Exposure
Separate from its IPO and valuation developments, Kraken also disclosed that it had received a ransom demand tied to customer data. The company said criminals threatened to release information after two breaches that allowed limited viewing of a small number of customer accounts.
Kraken stated that the number of accounts that could have been viewed was about 2,000 in total, or around 0.02% of its customer base.
The exchange said its system was not compromised and that customer funds were never at risk. Kraken also stated that it would not pay any fees to those behind the demand and said it would not negotiate with criminals. The company presented the issue as a contained data exposure rather than a broader system failure ahead of the IPO.
