Kraken 's crypto exchage, KRAKacquisition Corp., has stated that the target company's valuation could reach as high as $10 billion, but director Ravi Tanuku admitted that the actual transaction price "may be closer to $2 billion."
The SPAC has two years to complete the acquisition, and is currently conducting extensive evaluations of crypto-native companies, with a focus on three major sectors: stablecoins, decentralized finance (DeFi), and crypto payments.
KRAKacquisition listed on Nasdaq on January 28, 2026, with the code KRAQU, raising $345 million. Its backers included affiliates of Kraken's parent company, Payward, Inc., early-stage crypto venture capital firm Tribe Capital, and Natural Capital.
Opening a shortcut to IPO for small and medium-sized crypto companies
Ravi Tanuku points out that the core value of SPACs lies in providing an alternative path for crypto companies that are not large enough to support a traditional IPO process. Through reverse mergers, target companies can bypass the lengthy underwriting review process and directly enter the public market using KRAKacquisition's Nasdaq shell.
This is particularly attractive to mid-sized crypto-native companies valued between hundreds of millions and $2 billion, as traditional investment banks typically have limited interest in IPOs smaller than $1 billion.
It is worth noting that Kraken is also evaluating the possibility of its own IPO this year. The exchange raised $800 million in its previous funding round, and the market consensus on Kraken's valuation is around $20 billion.
Related reports
OKB surged 13% after rumors circulated that the OKX exchange was planning a US IPO.
Web3 companies' IPO boom: Token fundraising is becoming "more difficult".
