The Q2 earnings regulatory report indicates that Kraken made less profit, albeit higher revenue, compared to the first quarter of 2022, due to its shift towards the aspiration of being a multi-asset platform.
The exchange generated revenues of 411.6 million dollars in Q2 2025, an 18 percent increase compared to the same period last year, but the adjusted earnings declined by 7 percent to 79.7 million.
Expansion Brings Higher Costs
The firm attributed the drop in profits to the tariffs imposed in the U.S. and the broader macroeconomic issues. Kraken is making moves towards becoming a multi-asset exchange after initially being a crypto-centric exchange. In the quarter, it initiated trading in US equities, and it introduced tokenized equities and equity-based funds in the form of xStocks. Also, the company has launched 24/7 FX perpetual futures and has spent money on enhancing its infrastructure.
Although such expanses boosted its operating costs, Kraken mentioned that they fit its expansion plan to provide all sorts of assets to trade on it internationally. It portrayed its ongoing stage as being in build mode and made it clear it will add crypto, stocks, and tokenized assets to a common platform.
Revenue Dips from Q1
Although the company has seen an increase annually, its quarter-on-quarter revenue dropped to 13 percent in Q2 to 478 million. The trading volume was equally on a decreasing trend compared to the start of the year. Nevertheless, overall trading activity increased by 19 percent per year in Q2 2025 to 186.8 billion dollars.
The funded accounts increased by 37% to 4.4 million, and the assets on the platform rose 47% to $43.2 billion. Kraken increased the volume market share in stablecoin to fiat trading pairs to 68 percent, up from 43 percent. Its adjusted EBITDA decreased considerably to $80 million compared to Q1, which was $187 million, a 57 percent decrease.
Kraken aims to raise a half-billion-dollar fund at a valuation of 15 billion dollars. The move is interpreted as preparation for a 2026 IPO.
Tokenized Equities Gain Momentum
Kraken is one of the exchanges that has adopted tokenized assets. It also created over 60 tokenized stocks with the xStocks platform, in association with Backed Finance and Bybit. These assets work on the Solana blockchain and become part of DeFi.
Robinhood supports the tokenized U.S. stock on Arbitrum to the European market. eToro intends to tokenize 100 top U.S. stocks and ETFs on Ethereum. Gemini also introduced such a service on Arbitrum.
Although adoption is increasing, experts emphasize some regulatory and legal concerns. Although every xStocks token is secured by a Liechtenstein-based SPV, its critics cast doubt on the protection afforded to investors.
