Cryptocurrency exchange Kraken intends to raise around $100 million ahead of its initial public offering (IPO), according to a recent Bloomberg report citing sources familiar with the matter.
The report states that the crypto giant wants to complete this fundraising by the end of 2024.
As reported by U.TodayKraken had originally planned to go public via a SPAC merger in 2022. It was supposed to follow in the footsteps of rival crypto exchange Coinbase, whose shares debuted on the Nasdaq exchange in April 2021 to much fanfare.
However, Kraken ended up postponing its IPO due to a severe market downturn. In November 2022, Bitcoin price crashed all the way to $16,000 during the ongoing FTX crisis which sent shockwaves through the entire crypto market.
In March, Bitcoin ended up reaching its current all-time high of $73,737. Thanks to the crypto market, Kraken is expected to generate up to $2 billion in revenue this year, according to a Bloomberg report.
Kraken's IPO plans were also complicated by the fact that the U.S. Securities and Exchange Commission took the company to court last year. Kraken has been accused of operating as a securities exchange not registered by the regulator.
In February, Kraken deposit to dismiss the SEC's lawsuit, repeating previous arguments used by struggling crypto companies to argue that most cryptocurrencies are not securities. The exchange also accused the formidable regulator of trying to expand its jurisdiction.