Kraken Reports Revenue Growth but Faces Profit Dip Amid Market Headwinds
Crypto exchange Kraken has reported a notable increase in revenue for Q2 2025, but profitability took a hit as market volatility and global economic concerns weighed on trading activity.
The firm brought in $411.6 million in revenue during the second quarter, marking an 18% rise compared to the same period last year. However, adjusted EBITDA declined by 7%, landing at $79.7 million. Kraken attributed the drop to a slowdown in trading momentum following a strong first quarter, citing uncertainty tied to U.S. tariff policy and overall macroeconomic fragility.
While total exchange volume surged 19% year-over-year to $186.8 billion, it dipped 11% when measured against the first quarter of this year. Still, Kraken’s user-held assets climbed to $43.2 billion—a 47% increase over the past 12 months—signaling broader user engagement despite reduced quarter-over-quarter trading activity.
The exchange also saw its dominance in stable-fiat spot trading grow sharply, with its market share in that category jumping from 43% to 68% in just one quarter.
Kraken has been actively diversifying its services. In April, it launched commission-free stock trading in the U.S. and followed up in May with expanded crypto derivatives offerings across European markets. Looking ahead, Kraken plans to bring zero-commission stock and ETF trading to the U.K., Europe, and Australia by year-end, while also targeting broader distribution of tokenized equities.
Adding to the momentum, Kraken is reportedly gearing up for a major funding round. According to sources cited by The Information, the company is aiming to raise $500 million at a $15 billion valuation ahead of a potential IPO scheduled for early 2026.
Alex is Editor-in-Chief of Coindoo and co-founder of Millennial Media Group, with nearly a decade of experience covering financial markets - crypto first, then everything else. It started in 2016 with Bitcoin. Like most people at the time, he didn't fully understand it - so he kept digging. Blockchain, tokenomics, the projects, the cycles. That curiosity never stopped, and eventually pulled him into traditional markets too: equities, commodities, macro. Not because he left crypto behind, but because you can't properly understand one without the other. What drives him is straightforward: he wants to know why something is happening, not just that it's happening. Most market coverage stops at the headline - price up, price down, here's a chart. Alex finds that kind of reporting actively unhelpful. If you walk away from an article without understanding the mechanism behind the move, what did you actually learn? He holds a degree in Tourism from New Bulgarian University - not the most obvious path into financial markets, but markets have a way of pulling in people who are simply too curious to stay out. He has authored over 200 in-depth analyses and more than 10,000 articles across crypto and traditional finance. He still thinks every day in markets teaches him something new. That's probably why he hasn't stopped.
