Cryptocurrency exchange Kraken is reportedly considering following in Coinbase’s footsteps and conducting a direct public listing.
In a move that would significantly cement the position of bitcoin and cryptocurrency exchanges as major businesses, Kraken, a prominent U.S.-based exchange, is reportedly considering going public next year via direct listing, according to CNBC.
The report cited “record trading volumes and new clients amid a surge in the price of bitcoin” as motivation for the potential listing by Kraken, and it’s likely that the success of Coinbase’s direct listing is motivating it as well.
With a user base of more than six million, Kraken is ranked among the world’s biggest cryptocurrency exchanges. According to available data from CoinMarketCap, it currently sits fourth on the list of the largest exchanges by trading volume.
In a recent interview with CNBC, the company’s CEO and founder, Jesse Powell, revealed that it has been able to leverage the recent surge in bitcoin’s price. According to Powell, the gains the firm made as of February had beaten the entirety of those made in the previous year.
Bitcoin hit a record high price of over $60,000 in mid-March. Analysts and traders alike have attributed the price rally to the entrance of institutional investors into the industry. During this period, institutions like Tesla, MicroStrategy and a host of others made huge investments into BTC.
Recently, Kraken’s main rival in the U.S., Coinbase, revealed that it is set to go public in a blockbuster direct listing that is set for next week. This listing could help to push the value of the firm to as high as $100 billion. Coinbase also recently announced a record quarterly revenue of $1.8 billion in the first quarter of 2021.
