ComplaintsforKraken

• Initial Complaint

  09/27/2024

  Complaint Type:

  Billing Issues

  Status:

  Resolved

  More info

  My interaction with Kraken started on 9/25/2024. I purchased **** and attempted to send it on the blockchain like my last transaction. It was placed on hold.I emailed Kraken. I received an email that due to reasons they cannot disclose, my Kraken account will be closed and I have 72 hours to withdraw my funds. I attempted to withdraw my funds to received an email on the 9/26/2024, informing me that I needed to withdraw to the same bank account I withdrew to previously. This is where it gets strange. This account was open approximately two weeks prior and I have not withdrawn any funds to my bank account. And to top it off the **** Shintaro, ***** **** and Argee) four different **** handling this. I was provided the last four of an account number #**** and told to withdraw the funds to my account ending in those four digits. I provided a screenshot of my confirmation from my banking institution as proof the money came from my account but since it had my entire account number I cut that part out. Now prior to opening this account, I closed another Kraken account because I thought my account had been compromised.I even provided a transaction from my compromised Kraken account, showing proof that the account withdrawing funds to, is the same bank account I used with my former Kraken account on 09/26/2024 and silence.On 9/26/2024, I went in and filed another complaint. Another strange occurrence is that I received another email telling me to report my complaint of stolen cryptocurrencies from ***** F with another ticket number # ******** to law enforcement. ( not only did I not file a complaint with Kraken about stolen cryptocurrencies but the email came to the email address I used for the closed Kraken account.I have tried multiple times to withdraw without success.I went as far as screenshoting a deposit from Kraken into my bank account from my compromised Kraken account and providing it in an email. There response SILENCE.

  Business response

  10/07/2024

  Hello ******,
  
  Thank you for reaching out and sharing your experience. Were glad to see your issue has since been resolved, and wed like to clarify a few details to avoid any confusion.
  
  Regarding your account closure, its important to note that your account was being closed before any request was made from your side. We were informing you of this decision formally to ensure clarity and avoid the impression that the closure was optional or reversible. In this case, both of your accounts were being closed simultaneously, which may have led to some confusion.
  
  To protect both our clients and the integrity of Kraken, we may close accounts following a thorough internal review. Account closures are initiated only when we identify prohibited activity or determine there is a significant risk of fraud.
  
  Additionally, when we requested that you withdraw your funds, we asked that they be returned to the account you initially deposited from, not a previous withdrawal account. However, since the deposit originated from a Fidelity brokerage account (which we dont support withdrawals to), we made an exception for the withdrawal to your People ***************************
  
  We appreciate your understanding and patience during this process. If you have any further questions, please dont hesitate to reach out.
  
  Kind regards,
  Kraken Support

  Customer response

  10/08/2024

  Better Business Bureau:
  
  I have reviewed the response made by the business in reference to complaint ID ********, and find that this resolution is satisfactory to me.
  
  Sincerely,
  
  R *****

• Initial Complaint

  09/26/2024

  Complaint Type:

  Product Issues

  Status:

  Resolved

  More info

  September 25, 2024 I wired $65,000 USD from my bank account number ending in *****. I purchased $65,000 USDT crypto currency and then requested a withdrawal of the **** to my external DeFi account. No reason has been provided for two failures of the requested withdrawal. The next message from Kraken received on September 26, 2024 at 4:50 AM was my account was being closed by Kraken and I had 72 hours to sell my USDT crypto and to withdraw my USD to the bank account that the funds were sent to Kraken from. On September 26, 2024 I sold the the **** for USD. At 11:28 I submitted a withdrawal by wire of my funds to my originating bank Kraken reported the withdrawal failed. I resubmitted the same withdrawal again at 12:22 and Kraken reported it failed. At 12:27 Kraken provided in an email Your recent withdrawal has been canceled as you are not withdrawing your funds to a bank account you have deposited from. The funds have been credited back to your Kraken account. Please proceed to withdraw your entire balance to your bank account ending in **2697. I immediately provided a response to the email that the account number ********************** was providing was missing the last number of my account being a number 4. I immediately at 12:49 resubmitted the withdrawal request and the request has remained in a On Hold status. I have submitted 4 follow up emails to Kraken support requesting a release of the Hold and status of the submitted withdrawal request. There has been no response from Kraken support for the release of the hold and status of doing so. I have requested an update through the Kraken chat support with no response. There is not a working number to call Kraken support to discuss and all communication with them is limited to chat and email support. Given the lack of action by Kraken on completion of the withdrawal request and failure to respond to status inquiries I am submitting this report to your agency.

• Initial Complaint

  09/22/2024

  Complaint Type:

  Service or Repair Issues

  Status:

  Answered

  More info

  After ***** in deposits and withdrawals plus their assessed fees on conversions and wiring, I received an email about an account closure due to security reasons. I have never once voiced my opinion to their personnel and have just engage in messaging communication without any foul play, foul language, and or any other forms of foul content.I see it as they have no absolute reason for an account closure

  Business response

  10/09/2024

  Hi ****,
  
  Unfortunately, we still haven't received a valid email from you. Without this, were unable to investigate your account closure or reconsider our initial response to your complaint.
  
  If you believe your account was closed in error, please reply to your ticket with more details so our team can review it again.
  
  Thank you for your time with Kraken, and we wish you the best on your crypto journey.
  
  Kind regards,
  Kraken Support

  Customer response

  10/10/2024

   
  Complaint: 22320996
  
  I am rejecting this response because:

  After being notified that the account was being closed for internal security reasons and it could not provide any explanation on why, I contacted Karaken via the app and by email multiple times. 

   

  they should have it all on file. 
  
  Sincerely,
  
  **** ******

• Initial Complaint

  09/20/2024

  Complaint Type:

  Customer Service Issues

  Status:

  Answered

  More info

  Hello, I have an account with ********************** where I have invested over $1000 in cryptocurrency. Earlier this year, my cell phone crashed, and I lost my two factor authentication app, which is needed to get into my Kraken account. I have contacted the company multiple times through their website, via email, and through phone calls since May 2024 to try and get access to my account, but I have had no response and their voicemail says that they are not answering the phone at this time. I sent another message to them weeks ago, notifying them that I would file a complaint with the BBB and my congressional representative if I did not hear back from them, but I still have not heard back. I request your assistance to get in contact with someone at the company who can help me access my account and my funds which they are holding.

  Business response

  09/29/2024

  Hello ********,
  
  We apologize for the inconvenience caused by the loss of access to your account due to your 2FA issue. We understand how frustrating this can be. However, as noted, our phone support is temporarily disabled, and we do not make outgoing calls.
  
  Since May, we have sent you at least 14 emails in an effort to assist. This is a common issue, and we successfully help countless clients resolve it daily, typically within hours. To regain access, it is essential that you complete the 2FA recovery form (**********************************************************************) or, if you still have them, the follow-up question form we sent on May 18th and 20th. This is the only way we can assist with 2FA recovery. Even if phone support were available, they would direct you to submit this form.
  
  Please check your inbox and spam folders for our previous emails and complete the form so we can resolve this swiftly.
  
  Thank you for your understanding.
  
  Sincerely,
  Kraken Support

• Initial Complaint

  09/20/2024

  Complaint Type:

  Service or Repair Issues

  Status:

  Resolved

  More info

  This exchange locked my account for any transactions. After three weeks, issue still has not been resolved, despite the fact that I submitted ALL requested documentation. Communication is minimal, and there is no phone number, or real explanation as to what is going ***** appears they have taken all my funds, and I have no recourse to getting them back.

  Business response

  09/29/2024

  Dear *****,
  
  Thank you for bringing your concerns to our attention. We are pleased to inform you that your account is now fully operational as of Friday, September 27th. Please note that timely cooperation is crucial for a faster resolution, as delays in responding to our requests for information contributed to the extended process.
  
  We appreciate your understanding and remain available to assist with any future inquiries.
  
  Kind regards,
  Kraken Support

  Customer response

  10/03/2024

  Better Business Bureau:
  
  I have reviewed the response made by the business in reference to complaint ID ********, and find that this resolution is satisfactory to me.
  
  Sincerely,
  
  ***** Syposz

• Initial Complaint

  09/19/2024

  Complaint Type:

  Product Issues

  Status:

  Resolved

  More info

  I was made aware about 42 hours ago that my account would be closed due to some activity that has taken place, which will take place in 72 hours and be close on Friday 9/20 at around 2 pm. This was strange as I did nothing out of the ordinary, but now about $7,300 is left on the platform. Anyways, I was told that there was no other option than to refund to my bank account. So I proceeded entering and submitting my Bank information and submitted the refund before 4pm EST in 9/17.I never received a credit to my account the next day so I became suspicious. After having to open 3 different chats throughout the day I finally get a response that my withdraw is under review. Why couldn't the first rep figure this out? oh *** cause my follow up questions were ignored. I was finally instructed to submit a Bank statement, which I did and still have not heard anything. There is now only 30 hours left until my account is shut down for good. This is taking a toll on my mental health and I have missed work due to this. Anyways, Here is the reference IDs to my 2 withdrawals and the ticket I submitted with my bank info (in that order):FTSG4Qg-x2qr4ZBcHi19evXrqAnX7Q FTeJqXl-zMkneg56LMJCjIBtywy51p Ticket #******** (the bank statement I uploaded)Again I only have a little over a day left. Any help in resolving this as soon as possible would be greatly appreciated.

• Initial Complaint

  09/13/2024

  Complaint Type:

  Product Issues

  Status:

  Answered

  More info

  I am a customer of **********************, a cryptocurrency exchange, and I have encountered serious issues with my funds.Initial Issue: Over a week ago, I attempted to withdraw TRX (Tron) from my Kraken account. The transaction was placed "On Hold" for several days without any updates or communication from Kraken.Failed ********************* Suspension: After over a week, the transaction was marked as "Failed", and shortly after, all my account functionalitieswithdrawals, buying, selling, and convertingwere suspended. I received no prior notifications, explanations, or emails from Kraken about these actions.Customer Support Issues: I contacted ********************** support by opening a ticket, but after five days of waiting, the status of my support ticket remains on "Hold". Despite several attempts to follow up, the only response I received from Kraken was to "wait", and they have not provided any additional information or resolution for my situation.Funds Transferred Without Notice: To my shock, I recently noticed that my funds were transferred out of my Kraken account without my authorization or any prior notice, which raises concerns about the security of my account and *********************** handling of customer ********* Communication or Resolution: Kraken has not provided any clear explanation for the suspension of my account, the failed withdrawal, or the unauthorized transfer of my funds. Additionally, my attempts to post about the issue on Krakens social media (such as Reddit) have been repeatedly removed, leaving me with no communication channels to resolve this matter.Desired Outcome:I request a full refund of my funds or the immediate return of all assets held in my account.I am not interested in keeping my Kraken account active and only want my funds returned as soon as possible.

  Business response

  09/23/2024

  Hello Payam,
  
  We truly sympathize with the gravity of your situation and understand your concerns. However, wed like to clarify some details regarding your account.
  
  Your transaction was placed on hold because it involved an exchange in a sanctioned country. As previously communicated, the funds were not transferred out of your account without authorization but were frozen in a blocked account, as required by regulatory compliance. Kraken must comply with the *************** of the ****************************************** (****) regulations.
  
  We have explained that the next step is for you to obtain a license from **** to release the blocked funds. Once you receive this license and provide it to us, we will do everything we can to expedite the release of the funds, subject to compliance checks. Please understand that this process is beyond Krakens control, and we must adhere to strict regulations in these matters.
  
  Thank you for your understanding.
  
  Kind regards,
  Kraken Support

• Initial Complaint

  09/11/2024

  Complaint Type:

  Product Issues

  Status:

  Answered

  More info

  Commencing on or around November 8th 2023., I fell victim to a multilayered scam operation orchestrated by GMX - ********** (the Fraudsters or the Company), with the design, development, manufacturing, promoting, marketing, distributing, labeling, and/or sale of illegal and outright fraudulent investment services, all of which aim at contributing to the goal of robbing and defrauding clients through a predetermined cycle of client losses to gains. The scammers were committing financial crimes right under their noses, which involved, among other things, stealing and laundering large sums of money on a regular basis. Money was transferred from my wallet in the total amount of *********** ETH and ********** BTC, equivalent to ********* USD utilizing their services and under your authorization.

  Business response

  09/21/2024

  Hello ****,
  
  We understand the serious nature of your concerns, and we sympathize with the distress caused by these fraudulent activities. Please be assured that Kraken complies with all legal requirements and regulations.
  
  As previously communicated, we are unable to discuss details of this case publicly or with anyone other than verified law enforcement officials due to compliance reasons. However, we remain fully prepared to cooperate with any legal authorities that reach out to us regarding this case. If you haven't already, we strongly urge you to report the crime to the appropriate law enforcement agency in your area.
  
  Once they contact us through the Compliance and Legal support form [**********************************************************], we will provide any necessary assistance and relevant information.
  
  Thank you for your understanding and cooperation.
  
  Regards,
  Kraken Support

• Initial Complaint

  09/04/2024

  Complaint Type:

  Service or Repair Issues

  Status:

  Answered

  More info

  Between 8/26-27/24 I deposited $5,010 into a newly created account at this crypto exchange. After 4 trades of approximately $1,250 ea. over the next 3 days, I purchased a "cold wallet" that should have allowed me to store my purchased bitcoin offline. I had been advised to do a test transfer first, so I input the wallet-generated address, and this ($12) transfer worked fine. But when I attempted to transfer the balance, I unknowingly used the same send address rather than a subsequent one that had been generated by the wallet, and this transfer did not go through as the test had. I used the online chat feature to inquire further and was advised by a live chat *** that the matter had been turned over to email support for investigation and the transaction was on hold. My further attempts to find out more info/explain never reached another live chat ***resentative; instead I was ***eatedly turned away by their chat bot to contact email support. After several attempts to reach email support, I received a 9/2 email from "****" that my 1) My account was being closed; 1) I am to convert any remaining *** in my account to USD and withdraw within 72 hours to the original sending bank; and 3) I will not be allowed to reopen another Kraken account. After more fruitless attempts to seek an explanation via chat, email and telephone (always "unavailable") I was forced to short sell and charged a hefty fee, immediately converting my now $4713.68 in BTC to USD, and on 9/3 at 7:10a attempted to wire the proceeds back to my account at ******* ******. Except there was no bank on file for me on the Kraken site, and entering the ****** wiring instructions appeared as a "new bank." I became concerned the exchange might not consider this the "original sender" as I had been instructed. Again, countless attempts to clarify over the last 36 hrs. have gone unanswered, or answered sparingly with "canned responses." We are retired septuagenarians. Can someone PLEASE help us get our money back?

  Business response

  09/12/2024

  Hi ******,
  
  We sincerely apologize for the difficulties you experienced, particularly regarding your account closure. We understand these situations can be stressful. Please know that account closures are not decisions we take lightly.
  
  We're happy that the issue has since been resolved, and that you successfully withdrew your funds. If you have any further concerns or questions, our team is here to assist.
  
  Thank you for your understanding.
  
  Best,
  Kraken Support

  Customer response

  09/13/2024

   
  Complaint: 22241892
  
  I am rejecting this response because my account was closed without explanation, forcing a short sale of what I had planned to be a long position resulting in a $300 loss on my original $5000 deposit. Then I was instructed to wire the balance to the same account (my brokerage) from which the original deposit had been made, which I attempted to do. Several failed wire attempts (and another $100 or so in fees because apparently the company will not wire a brokerage account--even though that's what I was ordered to do) and nine days after being notified that my account would be closed, approximately $4600 eventually was wired to a checking account associated with my brokerage. While I am grateful for getting some of my money returned (because the company operates as if it is judge and jury in such matters), this can hardly be considered a satisfactory resolution; rather, I felt as if I literally had been kicked in the rear on my way out the door. If a company inexplicably closes a patron's account, at the very least it should not charge (either directly or indirectly through a 3rd party) to return his assets. How dare them.
  
  Sincerely,
  
  ****** *********

• Initial Complaint

  09/03/2024

  Complaint Type:

  Billing Issues

  Status:

  Answered

  More info

  Commencing on or about April 26th, 2023, I fell victim to a multi-layered scam operation run by Korbitcoin, under the domain name korbitcoin.net which involved me making deposits for a total amount of ***** USD from my Kraken account to fraudulent investment firm(s).

  Business response

  09/10/2024

  Hello *******,
   
  While we take seriously allegations of fraud, we are not in a position to evaluate whether you were genuinely defrauded. We strongly recommend that you engage law enforcement and report the details of the crimes committed against you to the relevant authorities in your jurisdiction. If Kraken receives a court order or similar legal process from a government agency with jurisdiction, we will certainly comply. 
   
  Please share these instructions with the law enforcement agency working on your case and have them reach out to us using this form: ****************************************************************
   
  Your letter makes statements about Kraken's legal and regulatory obligations, argues that Kraken has failed to abide by those obligations, and suggests that Kraken is thereby liable to you. Kraken strictly abides by its legal and regulatory obligations. But even assuming any fraud actually occurred, responsibility for that fraud lies with the bad actor, not with Kraken.
   
  In addition, your "ADR Protocol Letter" appears to be a form letter generated by MyChargeBack. We presume they told you to send it to us while asking you to conceal that they created it. Their templates use boilerplate that has no legal effect. In our experience, the MyChargeBack form letters cite law that is invalid, inapplicable, or from countries that do not have jurisdiction over our operations.
   
  While we review all complaints sent by clients, no letter generated by MyChargeBack has ever resulted in a change in our position. We accord them no weight because they do not adequately explain a client's real situation or legal complaint.
   
  We appreciate your understanding.
  
  Regards,
  Kraken Support ??

*Some consumers may elect to not publish the details of their complaints, some complaints may not meet BBB's standards for publication, or BBB may display a portion of complaints when a high volume is received for a particular business. ↩