Kraken Eyes 2026 IPO Amid Shifting Regulatory Landscape

Crypto Exchange Prepares for Public Debut as Industry Optimism Grows

Cryptocurrency exchange Kraken is gearing up for a potential initial public offering (IPO) as soon as the first quarter of 2026, according to a report from Bloomberg. The move comes as the regulatory environment in the United States appears to be becoming more favorable under President Donald Trump’s administration.

While Kraken's plans are not yet set in stone and could change in the coming months, sources familiar with the matter revealed that discussions are underway. The company has emphasized its commitment to transparency, noting that it was among the first exchanges to publish proof-of-reserves.

“We recently disclosed 2024 financial highlights to be more transparent about our business,” Kraken stated. “We’ll pursue public markets as it makes sense for our clients, our partners, and shareholders.”

Regulatory Challenges Delayed Kraken’s IPO Ambitions

Kraken has long considered going public, but regulatory hurdles under the Biden administration put its plans on hold. The exchange faced enforcement actions from the U.S. Securities and Exchange Commission (SEC), settling one case while successfully contesting another, which was ultimately dropped without charges.

With Trump now in office, the crypto sector is seeing renewed optimism. Unlike his predecessor, Trump has openly expressed support for digital assets and is set to meet with more than two dozen industry leaders—including Kraken Co-CEO Arjun Sethi—at the White House on Friday.

Kraken’s Growth Trajectory and Market Position

The exchange has experienced significant expansion in recent years, reporting $1.5 billion in revenue for 2024—more than double the previous year's figure. Adjusted earnings reached $380 million, positioning Kraken as a formidable player in the crypto space.

Although it still trails behind Coinbase, the largest U.S. exchange with $6.6 billion in revenue last year, Kraken continues to grow its global presence and introduce new products. Ranked as the tenth-largest exchange by trading volume on CoinMarketCap, the company is actively exploring ways to scale.

Kraken is not alone in considering an IPO. Other crypto firms eyeing public listings include stablecoin issuer Circle, digital asset custodian BitGo, and exchanges such as Gemini and Bullish. Founded in 2011, Kraken has raised approximately $27 million in primary capital, making its potential IPO a significant milestone in its evolution.

SEC Drops Lawsuit Against Kraken

In a positive development for the company, the SEC has agreed in principle to dismiss its lawsuit against Kraken. The case, which accused the exchange of operating as an unregistered securities platform and commingling customer funds, will be dropped with prejudice—meaning it cannot be refiled. Kraken will not admit to any wrongdoing, nor will it face penalties or be required to alter its business operations.

Meanwhile, Kraken's Australian branch has faced regulatory action from the Australian Securities and Investments Commission (ASIC). The Federal Court ruled that Bit Trade, which operates Kraken in Australia, violated the Corporations Act by offering a margin trading product without a target market determination.

As Kraken navigates these regulatory landscapes, its potential IPO in 2026 could mark a turning point for the exchange, solidifying its position among the industry's leading players.