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<p>Payward, the parent company of crypto exchange <a href="https://x.com/krakenfx" rel="noopener noreferrer nofollow">@krakenfx</a>, has cut around 150 jobs as part of a restructuring drive ahead of a planned public listing. The move is the latest in a series of workforce reductions tied to the firm's push toward US public markets.</p>
<h2 id="leaner-structure-bigger-ambitions">Leaner Structure, Bigger Ambitions</h2>
<p>In a statement, a Kraken spokesperson framed the cuts as routine optimization: <cite>"As a high performance culture, we continually evaluate and evolve our organization to ensure we have the right structure and talent in place to optimize growth and deliver for our clients."</cite> The latest round follows an earlier wave of reductions. <cite>The restructuring began in late 2024 with the dismissal of around 400 employees, roughly 15% of its workforce, following the appointment of co-CEO Arjun Sethi.</cite><cite>According to Reuters, the layoffs are part of a broader effort to streamline operations and improve earnings before interest, taxes, and amortization. This process reportedly began with the appointment of Sethi and has continued in the months since.</cite></p>
<p><cite>Payward confidentially filed a draft S-1 registration statement with the US Securities and Exchange Commission on November 19, taking an initial step toward a potential public listing.</cite><cite>CoinDesk reported in March that the company had paused its IPO plans due to weak market conditions, though sources said the firm still intends to pursue a listing once conditions become more favorable.</cite> At the Consensus conference in Miami, <cite>co-CEO Arjun Sethi said the exchange is "80% ready" to go public.</cite></p>
<h2 id="fresh-capital-and-an-ma-push">Fresh Capital and an M&amp;A Push</h2>
<p><cite>Payward is also raising new capital at a $20 billion valuation, according to two people with knowledge of the matter.</cite><cite>Most recently, it bought stablecoin-focused payments firm Reap for $600 million and digital asset derivatives platform Bitnomial for $550 million as it continues to scale up ahead of a planned IPO.</cite> Those deals follow <cite>Kraken's acquisition of NinjaTrader for $1.5 billion, announced in early 2025,</cite> which gave the exchange a significant foothold in US derivatives markets.</p>
<p><cite>The $20 billion number is not without complication. In April, German exchange operator Deutsche Boerse bought a 1.5% fully diluted stake in Payward for $200 million, a secondary transaction that implied a valuation closer to $13.3 billion. The gap reflects the broader difficulty of pricing crypto infrastructure companies during periods of uneven market sentiment.</cite></p>
<p><cite>Payward's acquisition strategy, expanding from spot trading into derivatives, payments, custody, and tokenization infrastructure, is aimed at building the kind of diversified, recurring revenue base that public-market investors prefer.</cite> Whether the current round of restructuring and dealmaking is enough to satisfy those investors will become clearer when Payward eventually makes its market debut.</p>
<p><b>Sources:</b><br><a href="https://www.coindesk.com/business/2026/05/14/kraken-parent-payward-cuts-150-staff-streamlining-business-ahead-of-planned-ipo" rel="noopener noreferrer nofollow">CoinDesk: Kraken Owner Payward Trims Workforce Ahead of Potential IPO</a><br><a href="https://www.coindesk.com/business/2026/05/08/kraken-parent-payward-seeks-fresh-funding-at-usd20-billion-valuation-ahead-of-potential-ipo" rel="noopener noreferrer nofollow">CoinDesk: Kraken Parent Payward Seeks Fresh Funding at $20 Billion Valuation</a><br><a href="https://www.coindesk.com/business/2026/03/17/crypto-exchange-kraken-freezes-multibillion-dollar-ipo-plan-due-to-difficult-market-conditions" rel="noopener noreferrer nofollow">CoinDesk: Payward Puts IPO Plans on Hold</a></p>

Kraken Parent Company Cuts 150 Staff To Streamline $20b Ipo Path

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