Republic Europe offers retail investors indirect stake in Kraken ahead of exchange's IPO

Republic Europe, the EU division of the popular investment platform, has announced the launch of a new product that will allow retail investors to gain indirect exposure to Kraken, marking what the firm describes as a first-of-its-kind private-market offering for individual investors in Europe.

The London-based private market platform said the so-called Kraken SPV will provide investors with an indirect equity interest in the U.S.-based crypto exchange, which remains privately held but has been widely reported to be preparing for an eventual initial public offering.

In November, Kraken confidentially filed for a U.S. IPO following its latest valuation milestone of around $20 billion. It later announced the acquisition of tokenization firm Backed Finance in December, a deal framed as part of its pre-IPO strategy, and more recently disclosed links to a SPAC vehicle targeting a Nasdaq listing.

The move is part of a broader effort to expand access to late-stage private companies that have traditionally been the preserve of institutional investors, Theodora Bishop, senior investment manager at Republic Europe, said in a statement.

"With many companies staying private for longer, the most significant wealth creation opportunities do not enable access for the masses," Bishop noted. The Kraken SPV is intended to bring "private-market quality into the public sphere."

Bishop said Kraken has grown into one of the world’s largest digital asset trading platforms, reporting more than 13 million users globally, since its 2011 launch. According to figures cited by Republic Europe, Kraken has generated $1.6 billion in revenue in 2024, representing a 138% year-over-year increase, and posted EBITDA of $421 million. The exchange has also taken strategic backing from firms including Citadel Securities and Jane Street.

Investors participating in the SPV will hold an indirect interest in Kraken’s equity and may benefit from the company’s future performance, according to the announcement. The firm has not confirmed whether investors will be able to tokenize their SPV holdings, an area of growing interest as financial firms explore blockchain-based ownership structures. Investors who join the waitlist will be notified when the vehicle formally opens for investment.