Deutsche Borse invests $200 million in Kraken parent Payward

Kraken parent company Payward has announced a $200 million investment from Deutsche Borse Group, as the crypto exchange operator continues to prepare for a potential U.S. public listing.

A Kraken spokesperson confirmed the investment to The Block following Bloomberg's earlier reporting. They said that the deal builds on a partnership formed months ago between the U.S.-based crypto exchange and the German exchange operator. The deal gives Deutsche Borse a 1.5% fully diluted stake in the company and implies a valuation of around $13.3 billion, according to Bloomberg, down from $20 billion in November. It is expected to close in the second quarter, subject to regulatory approval.

"Today, Deutsche Borse Group announced a $200 million strategic investment in Payward, the unified financial infrastructure platform that powers a family of products, including Kraken," the spokesperson said. "We are proud of what this moment represents."

Kraken operates one of the largest global cryptocurrency exchanges, while Deutsche Borse runs major trading venues, including the Frankfurt Stock Exchange, and provides clearing infrastructure across Europe.

Last year, the two firms struck a partnership with a shared goal of connecting traditional and crypto markets into a more unified system for institutional clients.

The latest investment signals that the relationship is moving beyond collaboration into capital commitment. The spokesperson said both sides are focused on building "a single, cohesive infrastructure for institutional clients," rather than maintaining parallel systems.

IPO and $20 billion valuation

Deutsche Borse Group’s $200 million stake in Kraken lands as the crypto exchange moves closer to a public listing.

Kraken's parent firm confidentially filed for a U.S. IPO last November and was previously valued at $20 billion following a separate $200 million investment from Citadel Securities.

Payward has also been expanding its footprint through acquisitions and partnerships. The firm reported $2.2 billion in adjusted revenue for 2025, attributing the growth to a broader focus beyond spot trading into a wider range of financial services.