Kraken, one of the largest cryptocurrency exchanges in the US, is reportedly offering private investors an opportunity to buy the shares in the company.
This offer valued at $4 billion is not a public offering, hence not available to public investors. According to a report on Finance Magnates, the funding would be for “select” investors who are ready to buy the company’s shares with a minimum investment of $100,000.
Private Investors are required to complete an online survey to determine their eligibility for the investment opportunity which closes on December 16, 2018.
The investment process will be carried out by an unnamed third party service, who will run eligibility checks on the private investors as well as execute the transaction, according to the report.
The company claims that they do not need fundraising since they are recording profits and holding “significant reserves.” However, they intend building a “war chest” for future acquisitions and rainy days.
Although the company did not reveal what it would be purchasing this time, the exchange has in the past, acquired some companies like Cryptowatch, Coinsetter, and others.
Sued for BCH Manipulation
Kraken is on the list of defendants in an ongoing Bitcoin Cash lawsuit for price manipulation. According to the litigation by “The United American Corp,” a group of individuals and organizations was formed to manipulate the price of bitcoin cash by centralizing the BCH market, hijacking the network, and violating standards and protocols.