Key Takeaways
- Payward, the company behind Kraken, has postponed its public offering until the second quarter of 2027 or later
- The firm submitted a confidential draft S-1 registration statement to the SEC in November 2025
- An $800 million funding round valued Payward at $20 billion prior to the SEC filing
- Second quarter adjusted revenues climbed 17% annually to $508 million even as trading activity declined
- Multiple cryptocurrency companies, including Grayscale and Ledger, have similarly shelved their public listing ambitions
The parent organization of cryptocurrency exchange Kraken, Payward, has extended the timeline for its anticipated public market debut to no earlier than the second quarter of 2027. According to two sources with knowledge of the situation who requested anonymity due to the confidential nature of the discussions, the delay reflects ongoing challenges in the crypto sector.
This represents the second major postponement for the organization. Back in March, Payward suspended its listing plans as deteriorating cryptocurrency valuations and reduced platform activity created an unfavorable environment for going public.
Growing Backlog of Postponed Cryptocurrency Listings
The situation extends beyond Payward. A significant number of cryptocurrency-focused businesses that were advancing toward public markets have retreated from those plans. Companies such as Grayscale, Consensys, and Ledger have all shelved their listing initiatives.
Ledger had engaged major financial institutions including Goldman Sachs, Jefferies, and Barclays to advise on a potential public offering that could have valued the company near $4 billion. However, the hardware wallet manufacturer never submitted preliminary registration documents and has since paused these efforts as market sentiment deteriorated.
BitGo, among the rare crypto-focused firms to successfully complete a public listing in 2026, saw its shares decline 36% from the January offering price. This underwhelming market reception has prompted other privately-held companies to reconsider their timing strategies.
The anticipated surge of cryptocurrency public offerings throughout 2026 failed to materialize. While Circle and Bullish successfully went public in 2025 and generated optimism for additional listings, subsequent price declines and disappointing post-listing stock performance dampened enthusiasm among institutional investors.
Financial Performance and Strategic Growth
During the second quarter, Payward disclosed adjusted revenues of $508 million, representing a 17% increase compared to the same period one year prior. The platform’s funded account base expanded 42% to reach 6.6 million users, while total assets under custody hit $40 billion.
Despite these positive metrics, overall transaction volume across the platform contracted 13% year-over-year, totaling $310 billion. Adjusted EBITDA decreased to $23 million as Payward allocated significant resources toward strategic acquisitions and platform infrastructure enhancements.
While keeping its public offering plans in limbo, Payward has pursued an aggressive expansion strategy through acquisitions. The company completed a $1.5 billion purchase of NinjaTrader, a retail futures trading platform, in 2025. Additionally, it acquired Bitnomial, a derivatives exchange regulated by the CFTC, for $550 million.
In July, Payward finalized the $600 million acquisition of Reap Technologies, a Hong Kong-based firm specializing in stablecoin payment solutions. The company has also reached an agreement to purchase the wallet infrastructure division of Magic Labs.
The acquisition of Backed Finance, the entity responsible for issuing Kraken’s xStocks products, provided Payward with enhanced oversight of its tokenized securities infrastructure.
Prior to submitting its confidential S-1 registration in November 2025, Payward secured $800 million in financing at a $20 billion valuation. Market maker Citadel Securities participated with a $200 million investment in that funding round.
At an industry gathering in April, Kraken co-CEO Arjun Sethi acknowledged the confidential SEC submission. He emphasized that obtaining public market capital was not the primary motivation behind pursuing a stock market listing.
Should Payward proceed with a Q2 2027 public offering, the timeline remains contingent upon completing the SEC’s review process, favorable market dynamics, and a final authorization from company leadership to move forward.
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