Kraken Refuses to Pay Extortion Demand Over Stolen Client Data

Kraken is facing an extortion attempt after an unnamed group gained access to internal support systems and limited customer data. Chief Security Officer Nick Percoco confirmed that Kraken's core systems were never breached, and no customer funds are at risk.

The incident involves two separate access events: one in February 2025 and a more recent one. Approximately 2,000 accounts were potentially viewed across both incidents, and the exchange has already contacted everyone believed to be affected.

Kraken is working with federal law enforcement across multiple jurisdictions and collaborating with industry partners to disrupt insider recruitment efforts targeting crypto firms, gaming companies, and telecommunications organizations.