Cryptocurrency exchange Kraken has released an important statement regarding its platform security. The announcement, made by the company’s Chief Security Officer Nick Percoco, stated that a criminal group targeted Kraken through blackmail.
According to the statement, the group made demands from Kraken, threatening to release videos allegedly showing customer data from the company’s internal systems. However, the company categorically rejected these threats, stating that they would not pay any ransom and would never negotiate with malicious actors.
Kraken maintained that its systems were never breached and user funds were never at risk. Investigations by the company indicated that the incident stemmed from improper access to limited customer support data, rather than an external attack.
The first incident occurred in February 2025, and an investigation launched following a tip from a reliable source determined that the access was carried out by a support employee within the company. This individual’s access was immediately terminated, a thorough investigation was conducted, and a limited number of affected users were notified. Additional security measures were then implemented.
The company stated that they recently received a second report regarding a similar video, and in this case as well, the individual was quickly identified and their access was blocked. Similar procedures were followed in both incidents, and affected users were notified.
According to Kraken, approximately 2,000 user accounts (about 0.02% of the total customer base) may have been potentially viewed in the two incidents combined. It was stated that blackmail requests began to be sent immediately after the unauthorized access was terminated.
The company stated that, based on intelligence and analysis, there is sufficient evidence to identify those responsible and that it is actively cooperating with law enforcement agencies in different jurisdictions.
*This is not investment advice.