We have compiled the most significant news from the crypto industry over the past two weeks.
- Media reports suggest Kraken is in talks to raise over $100 million ahead of a potential IPO.
- Semler Scientific has increased its bitcoin holdings to 828 BTC.
- OKX has launched a platform for residents of the Netherlands.
- A group of FTX creditors has challenged the exchange’s reorganization plan.
- Circle has entered the Brazilian market in partnership with BTG Pactual and Nubank.
Media: Kraken in Talks to Raise Over $100 Million Ahead of Possible IPO
The second-largest cryptocurrency exchange in the United States, Kraken, is reportedly discussing with potential investors to raise more than $100 million as part of a pre-IPO by 2025. This was reported by Bloomberg, citing informed sources.
Representatives of the platform declined to discuss the possibility of going public, noting their “ongoing exploration of strategic paths for global cryptocurrency adoption.”
In April 2021, Coinbase listed its shares on Nasdaq under the ticker COIN. Kraken had planned to follow its competitor through a direct listing but later leaned towards a more traditional structure. At that time, CEO Jesse Powell announced plans to list shares on the stock market in the second half of 2022.
In November 2023, the SEC accused the company of offering unregistered securities in the form of digital tokens on its platform.
In February 2024, Kraken filed a motion to dismiss the Commission’s lawsuit, citing the creation of a “dangerous precedent” for the regulator’s authority.
A month later, the organization introduced a custodial service for its institutional platform, Kraken Institutional.
Semler Scientific Increases Bitcoin Holdings to 828 BTC
Medical device manufacturer Semler Scientific, listed on Nasdaq, purchased an additional 247 BTC for approximately $17 million.
In total, the company holds 828 BTC on its balance sheet. The firm spent $57 million on these acquisitions. At the time of writing, the investments have yielded a 4% return ($2.22 million).
Semler Scientific’s management plans to raise $150 million, with a portion allocated for purchasing digital gold.
“Bitcoin is an attractive investment and can serve as a reliable store of value. We will continue to adhere to our strategy of purchasing the first cryptocurrency,” commented Semler Scientific CEO Doug Murphy-Chutorian.
Previously, Matt Horn, head of digital asset strategies at Fidelity Investments, recommended allocating 1–5% of capital to bitcoin, regardless of beliefs.
OKX Launches Platform for Dutch Residents
OKX expanded into the Netherlands by launching a local trading platform and Web3 wallet.
The CEX allows residents to trade approximately 150 cryptocurrencies, including at least 60 trading pairs denominated in euros. Staking and lending are also available.
OKX integrated support for the local payment system iDeal to ensure seamless deposits and withdrawals in the single European currency. Deposits and withdrawals are also possible through SEPA.
In April, the company launched its own Ethereum-based L2 network called X Layer. The initiative aims to provide low fees and compatibility for users interacting with dapps.
FTX Creditors Challenge Platform’s Reorganization Plan
Led by Sunil Kavuri, a group of FTX creditors filed an objection to the compensation plan. The plan proposed that 98% of clients would receive at least 118% of their claims.
CAHC has filed a objection to the FTX Plan
1) Plan is unconfirmable as a matter of law
2) Includes releases not in interest of the estate
3) Ignores property rights issue
4) Does not satisfy the best interest test pic.twitter.com/rpXxz0tmP2— Sunil (FTX Creditor Champion) (@sunil_trades) June 6, 2024
According to the claimants, cash compensation would result in a taxable event, causing creditors to incur undue expenses. An alternative in-kind option would better serve their interests.
In May, representatives of the largest creditor group led by Kavuri pointed out the plan’s limitations on recipients’ options and the release of some defendants from liability.
Earlier, it was revealed that the approved payouts to consultants and lawyers involved in FTX’s bankruptcy exceeded $500 million.
In June, FTX settled a lawsuit with the U.S. Internal Revenue Service for $24 billion.
Circle Enters Brazilian Market in Partnership with BTG Pactual and Nubank
USDC issuer Circle announced its launch in Brazil. The expansion opens the opportunity to introduce a supported stablecoin and digital asset infrastructure to the market.
The organization emphasized that approximately 90% of the value of cryptocurrency transactions in the country is formed by “stablecoins,” and the number of users of the instant payment platform Pix has exceeded 160 million.
Key Metrics of the DeFi Segment
The total value locked (TVL) in DeFi protocols has surged to $109.2 billion. Lido remains the leader with $36.4 billion. EigenLayer holds the second spot with $19.9 billion, while Aave retains third place with $13.2 billion.
The TVL in Ethereum applications increased to $66.5 billion.
Trading volume on decentralized exchanges (DEX) over the past 30 days strengthened to $136.3 billion.
Uniswap continues to dominate, accounting for 61.9% of the total turnover (up from 56.3% a month ago). The second DEX by turnover, PancakeSwap, increased its market share from 18.7% to 20.4%. Curve holds the third position with 3.2%.
Also on ForkLog:
- Mastercard has resumed its partnership with Binance.
- Robinhood will acquire Bitstamp in the first half of 2025 for $200 million.
- Coinbase introduced a “smart” gas-free wallet.
- Paxos introduced a stablecoin USDL offering a 5% annual yield.
- Changpeng Zhao has arrived in prison to serve his sentence.
- Mastercard launched a pilot service for cryptocurrency P2P transfers.
- The TVL of the EigenLayer protocol exceeded $20 billion.
What to Read Over the Weekend?
On May 28, the cryptocurrency market was stirred by reports of Mt.Gox moving bitcoins worth $9.8 billion. In response, former owner and head of the exchange Mark Karpeles was quick to assure that he does not anticipate a sell-off of the coins distributed among the platform’s clients.
Amid the uncertainty surrounding the process, QCP Capital saw positives for Ethereum, while Bitfinex suggested potential cascade liquidations of positions in digital gold in an unfavorable scenario.