The Kraken valuation reaching $20 billion has become one of the most notable developments in the market this week. The company secured $800 million in new funding, including a $200 million strategic investment from Citadel Securities, giving fresh weight to its long-running push to connect traditional finance with blockchain infrastructure.

The raise also reflects how institutional players are viewing regulated crypto platforms during a period of steady market restructuring. Kraken’s leadership highlighted that this round strengthens its ability to keep rolling out multi-asset products while expanding globally. Overall, the announcement marks a meaningful moment in the exchange’s ongoing growth story.

Kraken’s New Funding and Valuation

Kraken confirmed it has raised $800 million across two tranches to accelerate its strategy of bringing more traditional financial products on-chain. The primary tranche was led by several institutional investors, including Jane Street, DRW Venture Capital, HSG, Oppenheimer Alternative Investment Management, and Tribe Capital. Kraken also noted a substantial commitment from Arjun Sethi’s family office.

A second tranche followed, with Citadel Securities investing $200 million. This investment was executed at a $20 billion valuation, according to both Kraken’s press statement and confirmations reported by Fortune. Citadel Securities, one of the world’s most established market makers, described the partnership as an opportunity to support innovation in the intersection of digital and traditional markets.

Related read: Ripple Raises Valuation to $40 billion

Why Citadel Securities Joined the Round

The participation of Citadel Securities adds weight to the announcement, given the firm’s long-standing presence in global markets. Jim Esposito, President of Citadel Securities, said the company sees Kraken as part of the next stage of digital market development. The collaboration will extend into liquidity provision and risk management, areas where Citadel Securities already plays a major role in traditional finance.

Kraken co-CEO Arjun Sethi emphasized that the involvement of institutional investors reflects alignment around the company’s infrastructure-first model. Sethi described the investment as a sign of long-term confidence in the mission to build trusted and regulated infrastructure for an open financial system.

Kraken’s Business Performance and Growth Strategy

Founded in 2011, Kraken is among the industry’s longest-operating platforms. Its vertically integrated infrastructure includes custody, clearing, settlement, exchange matching, wallet services, and market data. This setup allows Kraken to roll out products across asset classes without relying on external providers.

Financially, Kraken reported $1.5 billion in revenue in 2024 and surpassed that figure within the first three quarters of 2025, according to the company. It achieved these results despite having raised only $27 million in primary capital before the current round. The firm also reported generating $40.5 billion in trading volume in October, according to data cited by The Information.

Over the last several months, Kraken has expanded its multi-asset ecosystem. This includes integrating U.S. futures trading through its acquisition of NinjaTrader, launching tokenized equity trading, and releasing KRAK, a global app designed for payments, savings, and investing.

Also read: Mastercard and Visa On-Chain Payment Expansion Moves Forward

Expansion Plans Following the Raise

Kraken said the new capital will support several areas of its roadmap. The company plans to grow its global footprint across Latin America, Asia Pacific, and EMEA. It also intends to broaden its product suite, with upcoming additions expected in trading tools, institutional services, staking solutions, and payment offerings.

The company noted that these expansions remain tied to its focus on compliance, reliability, and security. Citadel Securities’ involvement is expected to support liquidity and risk management as Kraken continues to integrate traditional and digital asset markets.

The $20B Kraken Valuation in Context

The announcement that Kraken raises $800 million signals a notable moment during a period of intensifying overlap between traditional finance and digital assets. With $200 million from Citadel Securities and a valuation of $20 billion, Kraken is positioning itself for wider global growth and further multi-asset product development. While the long-term impact will unfold over time, the involvement of major institutional investors shows continued interest in regulated infrastructure that connects established financial markets with blockchain technology.