Kraken Reports 19% Revenue Growth Despite Market Volatility

Kraken’s strategic acquisition of NinjaTrader signifies expanding into derivatives, affecting market dynamics amid increased trading activities.

In Q1 2025, Kraken achieved a gross revenue of $472 million, marking a 19% increase compared to the previous year, even with a 7% decline from Q4 2024. The company also reported substantial growth in trading volume by 29% year-over-year and a 26% increase in funded accounts. Arjun Sethi, Co-CEO, emphasized that the acquisition of NinjaTrader as a major step towards creating an institutional-grade trading platform.

“Legacy finance and crypto have remained separate ecosystems until today. This transaction is the first step in our vision of an institutional-grade trading platform where any asset can be traded anytime.” — Arjun Sethi, Co-CEO, Kraken

May 1 is when Kraken highlighted these successes on Twitter.

The acquisition enables Kraken to enter the U.S. futures markets, broadening its service offerings. This strategic move aligns with Kraken’s goal to bridge traditional finance and cryptocurrency markets. Market analysts note that this development positions Kraken favorably against competitors who are also expanding into derivatives.

The market response to Kraken’s expansion has been predominantly positive, with increased interest in their services. This acquisition mirrors trends seen in major exchanges worldwide.

Speculations around a possible Kraken IPO have emerged, fueled by the company’s strong Q1 performance. Analysts observe that Kraken’s ability to surpass crypto market benchmarks is largely due to strategic expansion into new territories and product offerings.

Constraining market volatility presents ongoing challenges. However, Kraken’s initiatives indicate its long-term ambition to be a leader in both crypto and traditional financial sectors. The acquisition consolidates its influence, potentially heralding future regulatory and technological shifts.