Kraken reiterates provisional direct listing plans next year

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Kraken, one of the world’s largest cryptocurrency exchanges, intends to go public next year, according to CEO Jesse Powell.

Powell appeared on a segment on TBEN after Kraken posted record fourth quarter results, including increased trading volumes and new client registrations.

“The first quarter completely blew our heads away the whole of last year,” he said. “We beat last year’s numbers at the end of February. The whole market has really exploded. “

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Regarding a possible market start, Powell said 2022 was a likely target for a re-listing:

“We are looking to be able to go public next year. […] It would likely be a straightforward listing, similar to Coinbase. “

Coinbase plans to hold its public offering on April 14, offering Wall Street a more conventional way to gain exposure to the crypto boom. Unlike a traditional initial public offering, the company will be listed on the stock market through direct listing. This means that current owners of Coinbase shares will convert their holdings to make them available for listing – a move that avoids a lengthy and costly subscription process.

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Like Kraken, Coinbase has just had a record first quarter, with revenue reaching $ 1.8 billion after a 276% increase in transaction volume.

While Kraken is unlikely to hit the same $ 100 billion valuation many analysts predict for Coinbase, a public listing would likely still be massive. Last month, Kraken told TBEN that its public listing would simply be “too high” to go through a special purpose acquisition company, or SPAC.

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A spokesperson for the company explained:

“If Kraken decided to go public, it would do so via a direct listing and not via a SPAC because we are too big to go that route.”