Cryptocurrency giant Kraken secretly submitted an IPO application, seizing the last window before the midterm elections in 2026
Cryptocurrency exchange Kraken has secretly submitted an IPO application to the U.S. SEC, planning to go public in the first quarter of next year. The company recently completed a $800 million financing round, raising its valuation to $20 billion. Morgan Stanley and Goldman Sachs are its lead underwriters for the IPO. Analysts believe this move indicates the long-term existence of the cryptocurrency asset market. The policies of the Trump administration have supported the development of the crypto industry, but the mid-term elections in 2026 may bring regulatory uncertainty
This Wednesday, Kraken (parent company Payward Inc.), one of the world's largest cryptocurrency exchanges, has secretly submitted an IPO application to the U.S. Securities and Exchange Commission (SEC). With strong policy support for digital assets shown by the Trump administration, Kraken is trying to seize the last window before the 2026 midterm elections, planning to go public as early as the first quarter of next year.
Just before the filing, Kraken has completed a new round of financing. The company disclosed in a statement on Tuesday that its latest round of financing totaled $800 million, with a post-money valuation rising to $20 billion. This figure surged 33% from the $15 billion valuation during the previous round of financing two months ago.
This round of financing attracted participation from top Wall Street market makers and trading firms, including Citadel Securities and Jane Street, with Citadel Securities investing approximately $200 million. According to previous media reports, Kraken has hired Morgan Stanley and Goldman Sachs as its lead underwriters for the IPO.
Third Bridge analyst Jacob Zuller pointed out: "Kraken's secret IPO application sends a clear signal: crypto assets are here to stay, and the exchange sector is not a 'winner-takes-all' market. The recent financing and IPO will provide crucial funding support for Kraken's product innovation and overseas expansion."
From a macro perspective, Kraken's rush to go public is closely related to the current political cycle. Since Trump returned to the White House and signed the Genius Act, the U.S. regulatory environment for the crypto industry has noticeably warmed. The president previously promised to make the U.S. the "world's cryptocurrency capital." This policy dividend has stimulated several leading institutions, including Gemini and Bullish, to enter the U.S. stock market this year.
However, as the 2026 midterm elections approach, concerns are rising in the market about a potential shift in regulatory winds. To hedge against future uncertainties, several companies in the crypto space, including Grayscale and custody startup BitGo, are accelerating their IPO processes.
On the business front, Kraken, founded in 2011, is trying to shed its single "cryptocurrency exchange" label and transform into a comprehensive financial services platform. The company recently launched commission-free stock trading services and has begun offering tokenized stock trading to customers in the EU.
At the same time, Kraken has been actively expanding through acquisitions. In May, it spent $1.5 billion to acquire the retail futures trading platform NinjaTrader, and last month it acquired the futures exchange Small Exchange from IG Group for $100 million.
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