Kraken Exchange declines to pay ransom for video containing customer data., 2026/04/14 10:25:28

Criminals are attempting to extort funds from the cryptocurrency exchange Kraken by threatening to release videos containing client data. This was reported by the platform’s security director, Nick Percoco, who emphasized that the exchange’s systems have not been compromised and that user funds remain secure.

Percoco detailed two instances of unauthorized access to limited data within the customer support systems. In February 2025, Kraken was informed about a video posted on a hacker forum that showcased access to these systems. The exchange’s specialists promptly initiated an investigation and identified the individual responsible—an employee from the support team. Kraken immediately revoked their access and implemented additional security measures, notifying affected clients about the incident.

Recently, Kraken became aware of a new video involving a similar security breach. The exchange also identified the individual involved and revoked their access, alerting impacted clients about the situation. In both incidents, a small number of client accounts—approximately 2,000, which represents 0.02% of Kraken’s total client base—were accessed, Percoco assured.

Shortly after blocking access to the offenders, the exchange encountered an extortion attempt. The criminals threatened to disseminate materials from both the February incident of the previous year and the recent breach in media and social networks if the exchange refused to pay a ransom. Percoco did not disclose the amount demanded but stated that the exchange is actively collaborating with federal law enforcement agencies across multiple jurisdictions to hold all responsible parties accountable. The security expert noted that Kraken possesses sufficient evidence to identify and arrest the culprits.

“Our systems have not been breached, and funds have not been jeopardized. We will not pay these criminals and will never negotiate with unscrupulous individuals. We are working with law enforcement to investigate and prevent insider recruitment targeting cryptocurrency firms, as well as gaming and telecommunications companies,” Percoco wrote.

In March, the bank established by Kraken, Kraken Financial, opened an account with the U.S. Federal Reserve System (FRS), enabling it to utilize the central bank’s payment infrastructure alongside other American banks. However, Democratic Congresswoman Maxine Waters expressed doubts regarding the legality of Kraken’s access to the U.S. payment system.