Kraken raises $200M from Citadel at $20B valuation

Kraken, one of the leading cryptocurrency exchanges, is entering a significant growth phase after raising $800 million in funding, which now positions its valuation at $20 billion. This recent round included a $200 million investment from Citadel Securities, a major player in the financial markets, aimed at enhancing Kraken's offerings in on-chain financial services.

Institutional investors bolster Kraken’s funding and valuation

The investment from Citadel is part of a broader funding initiative that saw participation from various institutional investors, including Jane Street, DRW Venture Capital, HSG, Oppenheimer Alternative Investment Management, and Tribe Capital. Notably, Kraken's Co-CEO Arjun Sethi also contributed significantly through his family office. This influx of capital is designed to strengthen Kraken's already robust balance sheet and support its diverse financial service offerings.

Kraken aims to enhance derivatives and tokenized asset offerings

In recent months, Kraken has made substantial strides in its product offerings. The exchange reported impressive financial results for the third quarter of 2025, with an adjusted EBITDA of $198 million, marking a 28% increase from the previous quarter. The company is also expanding its derivatives market presence through strategic acquisitions like NinjaTrader and Small Exchange, which will provide traders with more opportunities to engage with crypto-based futures.

Kraken outlines strategic growth plans for global expansion

Looking ahead, Kraken is setting its sights on expanding into new geographical markets, including Latin America, the Asia-Pacific region, and Europe, the Middle East, and Africa (EMEA). The company plans to launch additional asset types and improve its staking offerings. These efforts are part of its broader goal to connect traditional finance with open finance, leveraging a regulated global infrastructure.

Kraken's strong revenue performance and future strategies

Despite raising only $27 million in primary capital before this funding round, Kraken reported a remarkable $1.5 billion in revenue for 2024 and has already surpassed that figure in the first three quarters of 2025. Sethi emphasized the company's commitment to disciplined growth, indicating that the recent fundraising reflects a long-term vision rather than reacting to short-term market fluctuations. This strategic approach positions Kraken favorably as it continues to innovate and expand in a competitive landscape.