In 2024, Kraken, the well-known cryptocurrency exchange, celebrated impressive financial success, with revenues soaring to $1.5 billion—marking a remarkable 128% increase from the prior year. Additionally, the company reported earnings before interest, taxes, depreciation, and amortization (EBITDA) of $380 million. During the same year, Kraken also facilitated trading activities that totaled an astounding $665 billion across its platform, which boasted over 2.5 million funded accounts.
Strategic Changes
In a strategic pivot, Kraken made the decision to shut down its non-fungible token (NFT) marketplace, operational for just one year. This closure was part of a broader strategy aimed at concentrating efforts on creating new products and services. Notably, the NFT market experienced a sharp decline in sales volume throughout 2024, plummeting from around $3.6 billion in January to under $1 billion by September.
Future Opportunities
Additionally, Kraken was tasked by the bankruptcy estate of FTX with managing the distribution of funds owed to former clients and creditors of the defunct exchange. This distribution process is expected to kick off in early 2025, providing much-needed relief for those affected.
Looking forward, Bitwise, a leading exchange-traded fund (ETF) issuer, has speculated that Kraken might aim for an initial public offering (IPO) in 2025, potentially joining the ranks of other major players in the industry. In a positive turn for its users, Kraken has also reinstated its staking services in the United States after a two-year hiatus, which followed a $30 million settlement with the US Securities and Exchange Commission. Currently, residents in 37 states can participate in staking for 17 different digital assets on the Kraken Pro platform, reestablishing a valuable service for cryptocurrency enthusiasts.
Source: Cointelegraph
