Crypto’s Kraken plans to go public in Q1 2026

Kraken is finally making its move. The crypto exchange, officially known as Payward Inc., is planning to go public in the first quarter of 2026, according to a Bloomberg report on Friday following the White House’s crypto summit.

After years of delays, mostly caused by regulatory crackdowns, the company is taking advantage of the friendlier climate under President Donald Trump.

“We recently disclosed 2024 financial highlights to be more transparent about our business, which is something we started by being first to publish proof of reserves and we’re going to continue to prioritize going forward,” Kraken said in response to Bloomberg. “We’ll pursue public markets as it makes sense for our clients, our partners, and shareholders.”

Regulators step back as Kraken moves forward

Kraken has been eyeing an IPO for years, but U.S. regulators under Joe Biden slowed things down. The Securities and Exchange Commission (SEC) hit the company with lawsuits, claiming it operated as an unregistered securities exchange, broker, and dealer.

In November 2023, the SEC sued Kraken again over its crypto staking services, calling them an illegal sale of securities. The company settled, paid $30 million, and shut down staking in the U.S.

Now, things have shifted. On March 3, Kraken said the SEC has agreed to drop its lawsuit, with no admission of wrongdoing, no penalties, and no business changes. The SEC refused to comment, but this is part of a larger trend. In the last month, the agency has dropped or paused at least nine crypto cases, including lawsuits against Coinbase and Binance.

The SEC’s sudden reversal started after the crypto-hating Gary Gensler shamefully stepped down as chairman in January. Trump had vowed to fire him and replace him with Paul Atkins, a former SEC commissioner with a pro-crypto stance. Mark Uyeda is handling the role until Atkins is confirmed.

Trump’s influence on the crypto market is quite literally unprecedented. His pro-crypto campaign and the election win helped Bitcoin hit a new all-time high on Inauguration Day, though it later dropped 28% due to tariffs. He has also scheduled a meeting with 24 crypto leaders, including Kraken Co-CEO Arjun Sethi, at the White House this Friday.

The crypto market’s recent surge has pushed Kraken’s revenue to $1.5 billion in 2024, more than double from the previous year. Adjusted earnings hit $380 million. For comparison, Coinbase pulled in $6.6 billion in revenue during the same period.

Kraken is now the tenth-largest exchange by trading volume, according to CoinMarketCap. The Bloomberg report claimed that over the past few months, the company has expanded to more countries and launched new products, in efforts to gain an edge before going public.

Meanwhile, the crypto public offering market is finally opening up, with other firms, including Circle, BitGo, Gemini, and Bullish, also considering IPOs, as Cryptopolitan just reported.

Founded in 2011, Kraken has only raised about $27 million in primary capital, which is shockingly low compared to competitors, and a public offering would bring in new tons of funds and help the exchange compete at a higher level, said Bloomberg.

Meanwhile, Jesse Powell, Kraken’s co-founder, has been making headlines for other reasons. He was a major donor to Trump’s campaign, helping fund the Republican Party’s return to power. His contributions have been a key factor in the administration’s friendlier stance toward crypto.

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