Cryptocurrency exchange Kraken has temporarily suspended its initial public offering (IPO) process in the USA due to current market conditions being deemed unsuitable. In November 2025, the company raised $800 million from investors, including Citadel Securities, in its financing round at a valuation of $20 billion. The IPO application was filed confidentially with the U.S. Securities and Exchange Commission at the time.
Timing of Public Offering Changed
The company initially aimed to open its shares to trading on the stock exchange in the first quarter of 2026. During this period, the expected public offering did not take place and stock exchange officials announced that the IPO was shelved. While no further information was shared on the subject, it was emphasized that the plans were not canceled but only the time was shifted.
The general decline in the cryptocurrency market was effective behind this decision. Bitcoin is trading at $71,000, moving away from late 2025 peaks. During the year, the price dropped to $60,000. Since volatility in transaction volume and asset prices directly affects the income of a stock exchange, declining investor interest and pressure on valuation make an IPO unattractive at this stage.
So far in 2026, only BitGo has gone public, and the company’s share price lost 44 percent of its value in a short time. This development, which is an important indicator for the sector, directly affects the decision processes of large companies making similar plans.
Valuation and Investor Expectation
The $20 billion valuation that Kraken reached in its financing round in November 2025 attracted attention. Citadel Securities’ investment of $200 million in this round demonstrated the trust and corporate support in the company. However, the possibility of the public offering being realized below the value determined in the private financing round raises some questions. Especially the trust environment for institutional investors and the positioning of the stock market become important at this point.
Management considers that it would be better for existing stakeholders to wait until market conditions improve. Because a public offering with a serious loss in value is not considered compatible with strategic goals.
Whether the valuation can be maintained in the coming period depends on many factors beyond Kraken’s control. Transaction volumes, Bitcoin’s price movements and investment appetite in the general financial markets stand out among these factors. For now, it cannot be said that these indicators are progressing in a positive direction.
Different Business Models and Processes
Some other companies in the sector plan to continue their public offering processes. Securitize, the tokenization platform working in partnership with BlackRock, stated that it has not yet changed its target to go public in the second quarter of 2026. Securitize’s revenue is generated through institutional tokenization and real-world asset infrastructure rather than retail trading volume. Therefore, the business model is not as sensitive to volatility as the stock market.
It is stated that the main reason for Kraken’s decision was timing. It is reported that the company has already prepared the necessary financial resources, historical valuation support and application documents. It is emphasized that the decision is essentially to wait for conditions to emerge that will defend a price close to the valuation determined in the previous financing round, when the market environment allows.
