The California-based crypto exchange Kraken’s intentions for public listing were first revealed by Fox Business reporter Charles Gasparino on Twitter, saying that there could be a traditional initial public offering (IPO) or a merger with a blank check acquisition company. Kraken, however, later clarified that it is only considering a direct stock market listing as the company is too big for a SPAC merger. In a direct listing, the company goes public without issuing any additional stocks.
Coinbase also plans to go public later this month.
Coinbase, the largest crypto exchange in the United States and a competitor to Kraken, is already in the process of going public through a direct listing later this month. It might see a valuation of $100 billion, making it the largest stock market debut so far. eToro, an Israeli trading platform, however, is taking the SPAC route for public listing. Following Coinbase, Kraken next major spot crypto exchange in the country. It actively strengthened its services and gained a bank charter last year under Wyoming’s special-purpose depository institution law.
SCOOP: @krakenfx execs eying going public possibly through a SPAC or IPO possibly sometime next year as online crypto exchange’s customer growth ramps up; industry sources expect a raft of crypto SPACs this summer and with that, much more regulatory scrutiny more now @FoxBusiness
— Charles Gasparino (@CGasparino) March 16, 2021
US crypto exchange Kraken is currently valued at $4 billion.
The US-based crypto exchange Kraken, which is currently valued at $4 billion, is reportedly seeking a $10 billion valuation for its next private funding round that could go up to $20 billion under the right circumstances. Powell also stressed that he would go for public debut only at the right price. Other than Kraken, ICE-owned Bakkt is reportedly looking for a SPAC merger, but there is no official confirmation on that yet. As reported earlier, Coinbase’s shares were traded at a valuation of roughly $90 billion in a private auction before the public listing of the high-profile US cryptocurrency company. Nasdaq Private Market conducted the private auction earlier this month, which was also the last private auction of Coinbase stocks conducted by the stock exchange.