Payward, the parent company of crypto exchange Kraken, is cutting roughly 150 jobs as the firm continues restructuring efforts tied to its long anticipated public listing plans.
The layoffs affect around 5% of Payward’s estimated 3,000 persons workforce and come as the company works to improve operational efficiency, strengthen margins, and position itself more favorably for institutional investors ahead of a future IPO.
Key Takeaways
- Kraken parent company Payward is cutting around 150 jobs as it continues restructuring ahead of a planned IPO.
- The layoffs are part of a broader efficiency push that began in 2024 under co-CEOs Arjun Sethi and David Ripley.
- Despite workforce reductions, Payward is still expanding through major acquisitions and hiring in growth sectors like derivatives and tokenized assets.
- Kraken’s IPO plans remain active, though the company has delayed a public listing amid weaker crypto market sentiment.
- The restructuring reflects growing pressure on crypto firms to improve profitability and operational discipline before entering public markets.
Payward Streamlines Operations Ahead of IPO
The latest reductions extend a broader restructuring process that began in late 2024, shortly after Arjun Sethi joined David Ripley as co CEO. At the time, Payward eliminated approximately 400 roles across the business as leadership pushed to simplify operations and remove overlapping functions. Additional workforce cuts followed in early 2025. Despite the latest reductions, Payward is still actively hiring in several areas tied to its long term growth strategy, including derivatives, tokenized assets, and payments infrastructure.
A company spokesperson declined to discuss specific personnel matters but said the firm regularly reviews its organizational structure to ensure resources remain aligned with strategic priorities.
IPO Plans Still Active Despite Delays
Payward confidentially filed a draft S-1 registration statement with the U.S. Securities and Exchange Commission in November 2025, formally beginning the process for a potential public listing. The company was reportedly targeting a valuation near $20 billion following an $800 million funding round backed by both crypto focused and traditional financial investors.
However, the IPO timeline slowed earlier this year after weaker performance from several publicly traded crypto firms dampened investor appetite for new listings across the sector.
In March 2026, reports emerged that Payward had paused immediate IPO plans while monitoring broader market conditions. Speaking at Consensus Miami earlier this month, co-CEO Arjun Sethi said Kraken was “about 80% ready” to go public, suggesting preparations remain underway even without a confirmed launch window.
The comment signaled that Payward’s public market ambitions remain intact, though executives appear willing to wait for stronger investor sentiment before moving forward.
Expansion Continues Through Acquisitions
While cutting costs internally, Payward has simultaneously accelerated its acquisition strategy as it builds out services beyond spot crypto trading. The company has completed several major deals since the start of 2025, including the $1.5 billion acquisition of U.S. retail futures platform NinjaTrader, one of the largest purchases in crypto industry history. Payward also acquired derivatives platform Bitnomial in a deal reportedly valued at $550 million and stablecoin payments firm Reap Technologies for approximately $600 million.
The acquisitions point to a broader effort by Kraken’s parent company to diversify revenue streams before entering public markets.
Derivatives trading, tokenized assets, stablecoin payments, and institutional financial products are increasingly viewed as higher growth and potentially more stable business segments compared to traditional spot trading alone. Industry analysts say the strategy reflects how large crypto firms are repositioning themselves as broader digital financial infrastructure companies rather than purely crypto exchanges.
Crypto Firms Face Growing Pressure Ahead of Listings
Payward’s restructuring also highlights the pressure crypto companies face when preparing for public market scrutiny.
Public investors have become more focused on profitability, sustainable revenue, and operational discipline following several volatile years across the digital asset sector. That shift has pushed many crypto firms to reduce expenses, consolidate teams, and streamline operations before seeking public listings or additional funding.
Several major industry players, including Coinbase, Gemini, Crypto.com, and Block, have implemented workforce reductions over the past two years amid changing market conditions and increased competition.
For Kraken, the challenge is balancing aggressive expansion with tighter financial controls. The company remains one of the largest crypto exchanges globally and continues expanding into institutional trading, tokenized finance, derivatives, and blockchain based financial infrastructure.
Payward is also reportedly raising additional private capital while continuing discussions around its eventual IPO strategy.
Public Market Timing Remains Uncertain
Although Kraken’s IPO plans appear active behind the scenes, the broader public market environment for crypto firms remains unpredictable.
Investor demand for new crypto related listings has weakened following mixed performances from several digital asset companies already trading on public exchanges.
That uncertainty has made timing increasingly important for firms considering Wall Street debuts.
For now, Payward appears focused on refining its balance sheet, reducing unnecessary costs, and strengthening business lines that could attract institutional investors once listing conditions improve.
The latest round of layoffs suggests the company is continuing that process while preparing for a future public market push that could become one of the crypto industry’s biggest IPOs to date.
