Kraken Reportedly Pauses IPO Amid Tough Market Conditions

Citing two sources with knowledge on the matter, CoinDesk reports that Payward – the parent company of crypto exchange Kraken – has shelved its plans for multi-billion dollar public market debut.

What's the Scoop?

• IPO Pause: According to Coindesk's reporting, Payward, Inc. (dba Kraken), "is still considering an initial public offering, but probably not until market conditions improve." When reached for comment, a Kraken spokesperson told the outlet, "As we announced in November, we filed confidentially with the SEC, and that is all we can really share."
• Confidential Filing: On November 19, Kraken announced via press release that it had "confidentially" initiated the IPO process with the U.S. Securities and Exchange Commission, meaning its initial S-1 draft registration statement and pertinent financial information were filed with the agency, but unavailable for public review.
• Big Raise: One day before the announcement of its confidential IPO filing for its IPO, Kraken published a separate press release, revealing it received $800M in strategic investments from various institutional trading firms, including a $200M investment from hedge fund billionaire Ken Griffin's Citadel Securities which pegged the crypto exchange's valuation at $20B.