Crypto exchange Kraken announced on Nov. 18 that it has raised $800 million across two funding tranches, pushing the company’s valuation to $20 billion. The new capital will fuel Kraken’s expansion into new markets and accelerate its strategy of integrating traditional financial products with blockchain-based infrastructure.
According to Kraken’s blog post, the first tranche was led by major institutional investors, including Jane Street, DRW Venture Capital, HSG, Oppenheimer Alternative Investment Management, and Tribe Capital, alongside a significant commitment from Co-CEO Arjun Sethi’s family office.
The second tranche, a $200 million strategic investment from Citadel Securities, was executed at the $20 billion valuation. Citadel’s involvement also includes a collaboration on liquidity provision, risk management expertise, and market structure insights.
“This investment represents long-term conviction in Kraken’s mission to build trusted, regulated infrastructure for the open financial system,” said Arjun Sethi. “Our focus has always been straightforward: to create a platform where anyone can trade any asset, anytime, anywhere. The caliber of our new investors reflects both the scale of the opportunity ahead and the depth of alignment around how this infrastructure should be built.”
Profitability and vertically integrated infrastructure
Founded in 2011, Kraken operates a globally scaled and regulated infrastructure stack that spans spot trading, derivatives, equities, tokenized assets, staking, and payments. Its vertically integrated model covers exchange matching, custody, clearing, settlement, market data, and wallet services, enabling rapid product deployment while maintaining strict compliance and security standards.
The exchange has achieved sustained profitability, reporting $1.5 billion in revenue for 2024 and surpassing that figure within the first three quarters of 2025. Despite having raised just $27 million in primary capital before this round, Kraken has built a resilient and profitable business connecting traditional and digital asset markets.
Sethi emphasized that the funding success came from “long-term conviction rather than short-term market cycles,” and noted that more than $100 million of the investment came from his own family office, underscoring his commitment to Kraken’s long-term strategy.
We just announced that @krakenfx has raised $800M, a milestone that reflects years of work, discipline, and conviction. I am proud of what our team has built and grateful for the partners who chose to join us. But this is not a post about a fundraise. I want to share the side of…
— Arjun Sethi (@arjunsethi) November 18, 2025
Expanding product suite and market reach
The funding announcement follows a period of significant ecosystem growth. In recent months, Kraken has expanded its U.S. derivatives footprint through the acquisitions of NinjaTrader and Small Exchange, the latter completed in October for $100 million. It also launched tokenized equity trading and integrated U.S. futures trading into its offerings.
Additionally, the exchange released KRAK, a global app for payments, savings, and investing, further cementing its position at the intersection of traditional and open finance. Kraken’s latest proof-of-reserves audit reaffirmed 1:1+ backing for major assets, supported by distributed validator technology for Ethereum staking.
Citadel Securities President Jim Esposito commented on the new partnership, saying, “We’re excited to support Kraken’s continued growth as it helps shape the next chapter of digital innovation in markets.”
Sethi added that “Citadel Securities has helped define modern market structure for nearly 25 years, increasing efficiency, transparency and access for institutional and retail investors alike. We’re pleased to welcome the firm as an investor and look forward to benefitting from its deep expertise at the intersection of markets and technology.”
Global expansion on the horizon
Kraken plans to use the newly raised capital to scale its global operations, deepen its regulated presence, and expand its product suite both organically and through strategic acquisitions. The company is targeting new markets across Latin America, Asia-Pacific, and EMEA, alongside upgrades to its staking, payments, and institutional service offerings.
Kraken stated that these initiatives aim to provide clients with secure and efficient access to digital and tokenized assets, ultimately bridging the gap between traditional finance and open blockchain systems.
“Our vertically integrated infrastructure and disciplined approach to compliance, reliability, and security will continue to power our next phase of growth,” the company noted in its announcement.
Despite ongoing industry speculation, Kraken’s leadership maintains that it is not rushing into an IPO, with Sethi reiterating that the firm is financially sound and well-capitalized following this private fundraising round.
The successful raise marks a significant milestone for Kraken, positioning it as one of the most well-funded and widely diversified digital asset firms as it advances its vision for regulated global infrastructure connecting traditional and decentralized markets.
Tanya Petrusenko
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