Kraken to Acquire NinjaTrader in $1.5B Deal

Crypto exchange Kraken is set to acquire trading platform NinjaTrader for $1.5 billion, marking a strategic move to broaden its customer base and enter the US crypto futures and derivatives market.

This acquisition, valued at $1.5 billion with potential price adjustments, highlights the growing convergence of traditional finance and cryptocurrency.

Announced on 20 March, the deal will leverage NinjaTrader's status as a Futures Commission Merchant (FCM) registered with the US Commodity Futures Trading Commission (CFTC), allowing Kraken to expand its offerings across multiple asset classes.

This acquisition also aligns with Kraken’s plans to venture into equities trading and payments, while providing NinjaTrader with opportunities to grow in the UK, Europe, and Australia.

Kraken said in a press release:

"This acquisition strengthens our position as a 24/7, always-on technology platform built for professional traders, making us a leader in U.S. futures for both traditional and crypto markets."

Kraken to Expand Upon Emerging From Regulatory Headwinds

As Kraken seeks to expand its offerings, the acquisition of NinjaTrader marks a pivotal moment as the company emerges from recent regulatory challenges.

This deal comes amidst a growing push for innovation in the crypto space under the Trump administration.

Just earlier this month, the US Securities and Exchange Commission (SEC) dropped its lawsuit against Kraken, which had accused the exchange of operating as a securities exchange.

The case was dismissed with no penalties, admissions of wrongdoing, or alterations to Kraken’s operations.

At the same time, Kraken confirmed plans to go public, though it has yet to announce a timeline.

NinjaTrader, which facilitates trading of contracts based on the future prices of commodities like oil, Bitcoin, and copper, is a key addition to Kraken’s broader strategy.

Co-CEO Arjun Sethi emphasized that while traditional markets still rely on outdated banking systems, Kraken’s acquisition of NinjaTrader is the first step toward building an “institutional-grade trading platform” that can offer seamless access to all asset classes at any time.

The exchange’s announcement added:

"It also accelerates Kraken's multi-asset-class ambitions—which also include plans for equities trading and payments."

Transaction to Close in 1st Half of 2025

In its announcement, Kraken revealed that NinjaTrader will continue to operate as an independent platform following the acquisition, with its users gaining access to an enhanced range of trading opportunities in the future.

NinjaTrader is primarily backed by Long Ridge Equity Partners.

Pending the satisfaction of customary closing conditions, Kraken anticipates the deal will be finalised in the first half of 2025.

Kraken Targets 2026 IPO

Kraken is not only expanding its business but also preparing for a potential initial public offering (IPO) in 2026.

The company is eyeing a first-quarter listing, positioning itself as one of the few crypto firms to go public.

Although Kraken has not confirmed an exact timeline, it stated that it is closely monitoring market conditions.

Kraken said:

“We recently disclosed 2024 financial highlights to be more transparent about our business. We’ll pursue public markets as it makes sense for our clients, our partners, and shareholders.”

Financially, Kraken is experiencing rapid growth.

In 2024, its revenue surged to $1.5 billion, with $380 million in adjusted earnings and $665 billion in trading volume across 2.5 million funded customer accounts.

While Kraken trails behind Coinbase, which reported over $6 billion in revenue last year, NinjaTrader recently revealed that its futures trading platform serves over 1.8 million users.