A notable player in the cryptocurrency world is looking at offering private investors a unique opportunity to cash in to its Bitcoin exchange.
Valuing its shares at $4 billion, the Kraken exchange is offering investors a deal that’s spicier than its namesake flavored rum.
With a minimum of $100,000, investors will be able to purchase equity in the largest Bitcoin exchange in the world.
Anyone who’s been trading Bitcoin has been watching Kraken as the exchange works to generate the most volume of Bitcoin to Euros – and wrestles with U.S. regulators about its position in North America.
Although Kraken is the source of Bitcoin pricing to the Bloomberg terminal, it has also run afoul of the New York Attorney General’s office where a 2018 investigation slammed Kraken’s lack of disclosure to traders.
At the time, Kraken CEO Jesse Powell characterized the move as “hostile” – and Kraken, after that point, has reportedly been less than fully cooperative.
Recent reports show that Kraken has rejected a request for information on the part of New York officials.
Kraken has also gotten heat over its participation in following both hard forks of the Bitcoin cash split which has caused so much controversy and ire in the wider cryptocurrency market. Analysts have gone so far as to say that the Bitcoin cash problem has been depressing Bitcoin value on exchanges against the dollar. If that’s true, everybody’s going to be yelling at these market actors to cut it out.
Meanwhile, Kraken has also dealt with some internal issues.
“In December, when the market was succeeding, Kraken went through some tech glitches that prevented its services from functioning properly,” writes Krystle M. at BitcoinExhchangeGuide Dec. 11. “However, the team has been adamant about improving the staff behind its tech and support, while also creating and launched a matching engine. Though they condensed their staff through the summer, the company has used this room to grow as they have continued updating their product through 2018.”
Now, with New York regulators on their tail, Kraken seems to be wanting to share the misery, although by any measure the private investment opportunity is a big deal. For someone who wants to really go all in on Bitcoin, a Kraken stakeholder status might be a good move.