Kraken Frozen by 12k Dust Deposits in Suspected HTX-Linked Attack

Kraken, one of the largest cryptocurrency exchanges in the US, was hit by approximately 12,000 small-value deposits from a wallet linked to HTX, formerly known as Huobi.

The incident, known as a dusting attack, prompted Kraken to temporarily freeze some user accounts while it conducted its compliance review procedures. However, access has since been restored for most affected users, with funds still subject to sanctions remaining blocked.

A dusting attack involves sending tiny amounts of cryptocurrency to multiple wallet addresses in an attempt to break the anonymity of wallet holders or trigger compliance alerts. In this case, the sheer volume of deposits suggests a coordinated effort may have been aimed at disrupting operations or testing Kraken's compliance systems.