Kraken Cuts 150 Workers After Deploying AI; IPO May Slip to 2027
Kraken has laid off 150 employees after integrating AI tools, and its planned initial public offering may be delayed until 2027 amid a prolonged slump in digital-asset prices.
Kraken, one of the oldest cryptocurrency exchanges, has cut approximately 150 workers after deploying artificial intelligence tools to automate certain functions, and its long-awaited initial public offering may slip to 2027, according to a person familiar with the matter.
The layoffs represent about 15% of Kraken's workforce and come as the exchange seeks to reduce costs amid a sharp and prolonged decline in digital-asset prices. The company had previously signaled plans to go public as early as 2026, but the downturn in crypto markets has pushed back the timeline. Kraken joins a growing list of crypto firms trimming headcount after the AI integration reduced the need for manual processes in compliance, customer support, and trading operations.
For equity investors, Kraken's delayed IPO removes a potential high-profile listing from the near-term pipeline, reducing the supply of new crypto-exposed stocks. The layoffs also underscore the ongoing pressure on crypto-native businesses, which may weigh on sentiment for publicly traded crypto proxies such as Coinbase and MicroStrategy. Traders can track the impact on these stocks using NowPrice's live equities dashboard.
Looking ahead, the key catalyst for Kraken's IPO timing will be a sustained recovery in Bitcoin and other major digital assets. Investors should monitor crypto price levels and regulatory clarity, particularly in the US, as both factors will influence the exchange's ability to rekindle its public listing plans. Any positive shift in market conditions could accelerate the timeline, but for now, 2027 appears the earliest feasible window.