- Kraken is raising $500 million at a $15 billion valuation in advance of a planned 2026 IPO.
- This valuation applies a 10x price-to-sales multiple based on $1.5 billion in 2024 revenue.
- The move implies a valuation exceeding $100 billion for Binance, the world’s largest crypto exchange by trading volume.
- Kraken operates as the second-largest crypto exchange in the U.S., after Coinbase.
- Binance reported $16.8 billion in 2024 revenue and over $7.4 trillion in spot trading volume.
Kraken, the cryptocurrency exchange founded by Jesse Powell, is seeking $500 million in new funding at a $15 billion corporate valuation. The company is preparing for an initial public offering (IPO) expected in 2026.
The $15 billion figure represents a 36% increase from Kraken’s last valuation of $11 billion in 2022. The proposed valuation gives the company a 10x price-to-sales ratio based on projected 2024 revenue of $1.5 billion. Kraken reported $665 billion in trading volume for the same period.
This funding round sets a reference point for valuing larger crypto exchanges, especially Binance. According to the article, Binance generated $16.8 billion in revenue in 2024, which is about 11 times more than Kraken. Bloomberg, however, estimates Binance‘s revenue at $9.8 billion over the past twelve months. By customer count, Binance reportedly serves 275 million users—18 times more than Kraken’s 15 million. Their market share follows a similar pattern, with Binance holding about a 39% stake among all exchanges compared to Kraken’s 2%.
Both Kraken and Binance have remained private companies. With Kraken preparing for a U.S. IPO, the exchange will be required to disclose detailed trading and revenue data under American financial regulations. In contrast, Binance is not based in the U.S. and does not publicly report audited figures.
The U.S.-based Coinbase, which is smaller than Binance by volume, is currently valued publicly at $97 billion. This comparison leads industry observers to estimate that if Binance were valued using metrics similar to Kraken’s fundraising round, its worth could exceed $100 billion. Some analysts, like Bloomberg, apply a 50% risk discount due to regulatory factors, suggesting a valuation as low as $58 billion for Binance.
Despite these differences, the figures put forth in Kraken‘s fundraising are being used as new benchmarks for evaluating the world’s largest crypto exchanges. For detailed financial and trading statistics, more information can be found in the source links for Kraken’s 2024 financials and Binance’s revenue disclosures.
Bloomberg’s methodology further details its market-specific risk assessment in its profile of Binance’s founder. For trading volume comparisons and market share, updated rankings are accessible on platforms like CoinGecko and CoinMarketCap.
✅ Follow BITNEWSBOT on Telegram, Facebook, LinkedIn, X.com, and Google News for instant updates.
Previous Articles:
- Trump’s Crypto Group Urges Immediate Federal Clarity on Trading Rules
- FunkSec Ransomware Decryptor Released, Victims Regain Files Free
- Polygon Suffers One-Hour Outage After Validator Exits Network
- SEC Approves In-Kind Crypto ETF Redemptions, Banks to Engage More
- Bitcoin Soars Past $120K as Dalio, Musk Sound Alarm on US Debt
