Kraken appeals to customers in novel strategy to raise at a $4 billion valuation

Exchanges • December 12, 2018, 8:23AM EST
UPDATED: December 12, 2018, 1:14PM EST
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US crypto-exchange Kraken has confirmed that it will involve "valued clients" in its latest fundraising round, valuing the firm at $4 billion. The company said that while "fundraising is not a necessity" at present, "building a war chest for acquisitions in the bear market presents a win-win opportunity." The decision to raise funds during the market-slump follows that of Kraken's US competitor, Coinbase, which raised $300 million with an $8bn valuation. 

Still, Kraken is changing direction by appealing directly to customers to purchase a stake in the firm. CEO Jesse Powell clarified that the rather novel fundraising round would only be open until 16th December and "available to a very small, select number of clients.” He did not outline how much the company hopes to raise. (Source: CoinDesk)

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Isabel Woodford profile picture Isabel Woodford

Isabel is The Block's London and European reporter. She previously reported for Reuters in Madrid and London, following on from her time as a freelance journalist for the Guardian and the New York Times. She has a Bachelors in War Studies from King’s College London and a Master of Philosophy from the University of Oxford. Conflict of Interest: Edward Woodford, the CEO of SeedCX, is Isabel's brother. She does not report on any issues related to Seed or advise other authors in any regard.

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