Payward, the parent company of cryptocurrency exchange Kraken, is seeking fresh funding at a $20 billion valuation as it prepares for a potential IPO. The firm is ramping up its acquisition strategy, having recently purchased derivatives exchange Bitnomial for $550 million and stablecoin-focused payments firm Reap for $600 million. This aggressive M&A approach aims to strengthen its position in the derivatives market and expand its offerings beyond core crypto trading.
This fundraising effort highlights Payward’s ambition to solidify its market presence ahead of its public listing, especially after previously pausing IPO plans due to unfavorable market conditions. The company has indicated it is “80% ready” to go public, suggesting that a successful capital raise could facilitate its return to the IPO route when market conditions improve.
For market professionals, the key takeaway is that Payward’s strategic acquisitions and upcoming IPO plans could signal increased volatility and investment opportunities within the cryptocurrency sector, particularly as the market continues to evolve.
Source: coindesk.com