Kraken Lays Off Hundreds, Eyes 2025 IPO

Kraken, one of the world’s largest cryptocurrency exchanges, has laid off hundreds of employees since October 2023 as part of a rolling restructuring to streamline operations and improve profitability ahead of a potential U.S. IPO, possibly as soon as early 2025. The layoffs began with a 15% workforce reduction—about 400 employees—in October 2023, coinciding with Arjun Sethi’s appointment as co-CEO. Despite the cuts, Kraken is selectively hiring for critical roles and expanding its offerings, including the acquisition of NinjaTrader and the launch of commission-free stock trading. The company is also exploring a $1 billion debt raise led by Goldman Sachs and JPMorgan. Kraken cites strong revenue growth, a thriving business, and the dismissal of a major SEC lawsuit as positive developments. While it has not released a statement on the most recent layoffs, Kraken maintains the changes are necessary to remain competitive.