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SEC Sues Kraken Exchange

The SEC’s statement revealed that Kraken operated without the necessary registrations, leaving investors without various protections.

The SEC’s complaint underscores Kraken’s business practices, inadequate internal controls, and flawed registration process, which exposed its clients to numerous risks.

SEC Sues Kraken Exchange

Additionally, the exchange accused Kraken of mixing funds, alleging that it used customer assets to finance its operational costs.

“The SEC’s complaint also points out that Kraken’s operational methods, insufficient internal controls, and inadequate registration process exposed customers to several risks.”

The exchange alleged that Kraken was commingling funds, accusing it of utilizing customer assets for its operational expenditures.

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