Kraken generates $1.5 billion in revenue amid an increase in trading volume in the United States

The revenue of Kraken, a cryptocurrency exchange, increased by 128% in 2024, reaching $1.5 billion.

Kraken’s revenue experienced a substantial increase in 2024, surpassing $1.5 billion, representing a 128% year-over-year increase.

The financial success of the US-based crypto exchange is consistent with a broader market upswing, which has seen Bitcoin and other digital assets reach new all-time highs.

In 2024, the platform generated $380 million in earnings before interest, taxes, depreciation, and amortization (EBITDA) as a result of $665 billion in trading volume.

Kraken’s assets totalled approximately $42.8 billion, and it generated an average of more than $2,000 per consumer. In terms of daily trading volume, the platform was the fifth-largest centralized exchange, and it also managed 2.5 million funded accounts.

In contrast to short-term market trends, Kraken attributes its success to a long-term growth strategy. This concentration has enabled it to dominate the stable-to-fiat on-ramp sector. Among significant centralized exchanges, the exchange managed more than 40% of the global stable-fiat volume.

The company also underscored its dedication to seamless execution, stating that it has executed 2.5 billion transactions since its inception, has a 99.9% platform availability, and has a sub-2ms round-trip latency.

While unveiling plans to release quarterly financial reports that would include the exchange of proof-of-reserves disclosures, Kraken Co-CEO Arjun Sethi reaffirmed the firm’s commitment to transparency.

“As we persist in our commitment to transparency and accountability, today’s financial highlights are the initial of many.” Sethi further stated, “We are dedicated to maintaining the utmost level of trust among our clients by consistently spreading our Proof of Reserves.”

Kraken has not disclosed any intentions regarding an initial public offering (IPO) in 2025, despite ongoing speculation. Rather, the organization claimed that it has maintained its financial independence by raising only $27 million in primary funding since its inception in 2011.

Kraken continues to encounter substantial regulatory obstacles in the United States, despite its robust financial performance.

In 2023, the exchange resolved its agreement with the SEC regarding its staking services, which resulted in the product’s suspension. Nevertheless, it reintroduced staking for users in 39 states earlier this week and announced that it would close its NFT marketplace in February.

Meanwhile, Kraken is still involved in an SEC litigation that claims it has been conducting business as an unregistered exchange, broker, and clearing agency. The regulator alleges that Kraken has been generating substantial revenue by facilitating unlawful crypto securities transactions since 2018.

Nevertheless, the exchange was permitted to continue with its “fair notice” and “due process” defenses following a recent court ruling. However, its “central questions doctrine” argument was rejected.

Also Read: 21Shares applies for Polkadot spot ETF as Dogizen views market début