Kraken's affiliated SPAC is seeking potential acquisition targets, with the actual valuation of the target company potentially approaching $2 billion.

Kraken's affiliated special purpose acquisition company (SPAC), KRAKacquisition Corp., announced it has begun searching for potential acquisition targets, with target companies valued at up to $10 billion. The SPAC is reportedly broadly examining crypto-native companies, including those in stablecoins, tokenization, DeFi, and payments. KRAKacquisition, which previously completed a $345 million IPO and has been given two years to find acquisition targets, stated that the $10 billion valuation is only a rough upper limit, and the actual valuation of target companies may be closer to $2 billion. However, this range reflects the company's desire to provide a pathway for small- to mid-cap companies to access the public market. Meanwhile, Kraken itself is also pursuing its own IPO plans. The exchange previously filed a confidential registration statement with the U.S. Securities and Exchange Commission and completed approximately $800 million in financing last year, valuing the company at approximately $20 billion. KRAKacquisition is also considered a strategic investment vehicle for Kraken, forming a closer economic connection with acquired companies through shareholding. (Decrypt)