Citadel Backs Kraken at $20B Valuation in Massive New Funding Round
American cryptocurrency exchange Kraken has secured a major cash injection, announcing an $800 million funding round on Tuesday that places the company in one of its strongest financial positions to date.
The raise—structured across two tranches—marks a significant milestone for the long-running exchange as it prepares for aggressive global expansion and moves closer to a long-anticipated public listing.
The first and larger tranche was led by heavyweight institutional investors including Jane Street, DRW Venture Capital, HSG, Oppenheimer Alternative Investment Management, and Tribe Capital.
Kraken also received backing from Co-CEO Arjun Sethi’s family office, underscoring internal confidence in the firm’s long-term trajectory.
Citadel Securities Backs Kraken at a $20 Billion Valuation
The second tranche consisted of a $200 million strategic investment from Citadel Securities, the market-making giant founded by billionaire Ken Griffin.
The deal prices the exchange at a $20 billion valuation, significantly exceeding earlier expectations. In July, The Information reported Kraken was aiming for a $500 million raise at a $15 billion valuation, but stronger demand ultimately pushed both the total raise and valuation higher.
Sethi said the investment reflects deep institutional conviction in Kraken’s mission. “This investment represents long-term conviction in Kraken’s mission to build trusted, regulated infrastructure for the open financial system,” he said. “Our focus has always been straightforward: to create a platform where anyone can trade any asset, anytime, anywhere.”
A Rare Mega-Raise for an Exchange Built With Limited Outside Funding
Despite being one of the oldest and most prominent crypto exchanges in the United States, Kraken has historically raised very little capital. Before this round, the company had taken in just $27 million in primary funding—an unusually small amount compared to many crypto peers that relied on large venture rounds to scale.
The exchange’s revenue growth has helped bridge that gap. The company generated $1.5 billion in revenue in 2024 and said it surpassed that figure during the first three quarters of 2025. That accelerating growth trajectory likely contributed to investor enthusiasm and the oversubscribed funding round.
Global Expansion and Product Diversification Now in Focus
With the new capital, the exchange plans to embark on a broad global expansion push, targeting strategic regions including Latin America, the Asia-Pacific region, and EMEA.
The company said the funds will also support efforts to diversify into additional asset classes beyond cryptocurrencies, along with upgraded trading tools, expanded payment services, and stronger institutional offerings.
Kraken emphasized that its long-term strategy is to build a “multi-asset, global financial platform” capable of serving retail and institutional clients alike.
IPO Plans Remain on the Horizon
The timing of the raise comes as Kraken moves closer to going public. Ecoinimist reported in March that the firm was eyeing an early-2026 IPO window, and Tuesday’s announcement reinforces the sense that Kraken is positioning itself for the rigor of the public markets.
The influx of capital also reflects broader investor interest in established crypto firms, even amid periodic market volatility. Recently, Arthur Hayes attributed a crypto downturn to a “contraction in dollar liquidity,” but well-capitalized infrastructure companies continue to draw institutional support.
Kraken Steps Into Its Next Era
As the digital asset industry matures, Kraken’s landmark raise signals its transition into a more globally integrated and institutionally focused financial platform.
With renewed backing from some of the largest players in global finance, Kraken now enters the next chapter of its growth—one marked by expansion, diversification, and the possibility of becoming one of the most significant crypto-native IPOs in the coming years.
