Kraken Posts $507M Q1 Revenue as Spending Spree Squeezes EBITDA — IPO Slips to 2027

Kraken's parent company Payward recorded $507 million in adjusted revenue for Q1 2026, up 3% year-over-year, even as co-CEO Arjun Sethi acknowledged it was "one of the most challenging quarters the industry has faced since 2022." The topline growth masks a sharp compression in profitability: adjusted EBITDA collapsed to $18 million from $168 million in Q1 2025, a deliberate consequence of heavy investment in acquisitions, product development, and regulatory infrastructure.

Sethi frames the pain as strategic. Kraken's spot volume market share climbed from roughly 3.5% in mid-2025 to a high of 5.2% in March 2026, assets on platform grew 11% year-over-year to $40 billion, and funded accounts jumped 47% to 6.1 million — metrics Sethi says point to a "more resilient" revenue mix.

The IPO timeline, however, is softening. Kraken filed confidentially for a public listing in November at a $20…